Commercial ROI: Maadi vs. New Cairo. Where is the Smart Money in 2026?

If you are buying an office in Cairo today, you face a classic investment dilemma: Chase the “Cash Flow” of Maadi or the “Capital Gains” of New Cairo?

The commercial real estate market in Egypt has decoupled. Maadi remains the king of high-yield rental income due to a scarcity of administrative licenses. New Cairo (specifically North 90 Road) is the king of asset appreciation, driven by corporate migration to the New Capital. At Edara Property Services, we advise investors to choose based on their liquidity needs. This guide breaks down the numbers to help you decide where to park your capital.

Which offers better commercial ROI: Maadi or New Cairo?

Maadi offers higher immediate rental yields (8-10%) because supply is capped and demand from local companies is stable. New Cairo offers lower initial yields (6-8%) but significantly higher capital appreciation (resale value) as the district becomes the new business hub of Egypt.

1. Maadi: The Cash Cow

Maadi has a unique advantage: Zoning Restrictions.

• Scarcity: You cannot just build a new office tower in Sarayat Maadi. The supply is fixed.
• The Result: When a licensed administrative villa or office becomes available, it rents immediately.
• The Yield: Because the purchase price of older buildings is lower than New Cairo, but rents remain high, the percentage return (Yield) is superior. It is a pure cash-flow play.

2. New Cairo (North 90): The Appreciation Engine

New Cairo is the future.

• The Trend: Companies are moving their HQs to be closer to the New Administrative Capital. Buying an office on North 90 Road is like buying stock in a high-growth tech company.
• The Gain: You might accept a slightly lower rent today, but the value of the square meter is expected to double in 3-5 years as the area matures.
• The Prestige: Multinational tenants (Amazon, Microsoft) only lease “Class A” smart buildings, which only exist in New Cairo.

3. The “Shell vs. Finished” Factor

• In Maadi: Tenants usually expect fully finished, ready-to-move offices.
• In New Cairo: Most offices are sold “Core & Shell” (Red Bricks).
  • Investor Tip: Buying Core & Shell and finishing it yourself creates instant equity (forced appreciation) and attracts premium tenants who don’t want the hassle of construction.

4. Administrative License Risk

• Maadi Risk: Many offices in Maadi operate in residential buildings “semi-legally.” Always verify the commercial license before buying.
• New Cairo Safety: Offices in admin malls (like Trivium or One Ninety) are 100% legal and compliant, making them a safer asset for institutional investors.

5. The Golden Opportunity

We are currently marketing a prime commercial unit in the heart of the business district that perfectly balances location with investment potential.

Conclusion

• Invest in Maadi if you are retired or need monthly income to pay bills.
• Invest in New Cairo if you are building long-term wealth and can wait for the asset to mature.

Don’t guess with millions. Contact our “Commercial Investment Desk” for a data-driven ROI analysis.

Frequently Asked Questions (FAQs)

Q: Is it better to buy a shop or an office?

A: Shops (Retail) offer higher rent but higher risk (if the business fails). Offices (Admin) offer stability and longer contracts (3-5 years). For passive investors, offices are safer.

Q: Can foreigners buy offices in Egypt?

A: Yes, and it grants residency. The process is straightforward for commercial units in new developments.

Q: What is the minimum budget for a good office? A: In New Cairo, you need at least 8-10 Million EGP for a small, decent office. In Maadi, you can find options for 5-7 Million EGP in older buildings.

Blog Excerpt

Commercial ROI: Maadi vs. New Cairo. Where is the smart money? We analyze rental yields, capital appreciation, and vacancy rates to help you decide between buying an office in the historic district or the modern capital hub.