Leveraging Experience to Drive Urban Development in Egypt!
Building cities is about much more than bricks and mortar; it is about crafting communities that uplift the human experience. With this philosophy in mind, Khaled Abbas is leading the development of Egypt’s massive New Administrative Capital (NAC) project. Specializing in housing, construction, and urban planning for more than 30 years, he brings a lot of knowledge and experience from his previous position as Deputy Minister of Housing, Utilities, and Urban Communities.
As Chairman of the Administrative Capital for Urban Development (ACUD), Khaled understands the transformative impact the NAC can have. His journey into urban development and real estate began with a deep passion for transforming urban landscapes and improving living standards. His extensive experience, including his previous role as Deputy Minister of Housing, Utilities, and Urban Communities for national projects in Egypt, has significantly influenced his approach to large-scale urban development projects like the New Administrative Capital (NAC).
In this exclusive interview, he shares his vision for the NAC, a revolutionary project that aims to redefine the urban landscape of Egypt. With its futuristic infrastructure and sustainable design, the NAC is poised to become a beacon of innovation and progress in the region. Khaled discusses the challenges and opportunities that come with such a massive undertaking, as well as the impact it will have on the lives of Egyptians.
Let us explore his journey:
Inception Story
Since his appointment as Chairman in September 2022, Khaled has been instrumental in driving forward the vision of the Administrative Capital for Urban Development (ACUD). Established in 2016 by presidential decree, ACUD’s mandate revolves around the meticulous planning, development, and operation of Egypt’s New Administrative Capital (NAC), strategically situated 35 km east of Cairo.
The NAC project is designed to be a sprawling metropolis, encompassing a total area of 960 square kilometers divided into four distinct phases. Central to its design is the integration of smart infrastructure initiatives aimed at fostering sustainable growth and development. One of the primary objectives of the project is to generate employment opportunities, with aspirations to create up to 1.7 million permanent jobs upon completion.
Significant progress has already been made, particularly in phase one, where 80% to 90% of the development has been realized, covering an area of 168 square kilometers. This initial phase includes key districts such as the presidential, governmental, and financial districts, along with eight residential zones, a dedicated area for arts and culture, and the diplomatic quarter. A notable feature is the expansive green river, spanning approximately 1000 acres, serving as the city’s central park, and symbolizing its commitment to green spaces and environmental sustainability.
Under Khaled’s leadership, ACUD has achieved notable milestones, including a remarkable revenue of $800 million in 2022. This success underscores the commitment of ACUD to realizing the vision of the NAC as a model of modern urban development and a beacon of progress for Egypt.
ACUD’s Vision for the New Administrative Capital
As the Chairman of ACUD, Khaled’s foremost priorities revolve around ensuring the New Administrative Capital (NAC) becomes a sustainable, smart city that provides exceptional living standards for its residents. Central to this vision is the implementation of green building practices, the deployment of smart utilities, and the development of efficient infrastructure. Furthermore, preparations are underway for the public listing of ACUD on the Egyptian Stock Exchange, a strategic move aimed at attracting increased investment and fostering economic prosperity.
In striving to create a balanced and inclusive urban environment, he emphasizes the importance of addressing the needs of diverse stakeholders, including government entities, private investors, and future residents. This commitment to stakeholder engagement aims to foster harmony and inclusivity within the city’s development framework.
The year 2023 marked a significant milestone in ACUD’s journey, characterized by key partnerships with top-ranked international operators tasked with managing critical infrastructure projects within the city. These partnerships not only facilitate knowledge transfer but also contribute to the generation of revenue streams vital for the NAC’s sustained growth. Building upon the success of 2022, wherein ACUD recorded a profit of $800 million, preliminary financial indicators suggest that profits for 2023 are poised to exceed this achievement by at least 10%.
Moreover, ACUD’s executive management places a strong emphasis on corporate social responsibility (CSR) initiatives, recognizing the importance of contributing positively to society. In line with this ethos, the company has launched various CSR initiatives, including the provision of 100 university scholarships to academically outstanding students from underserved villages in Upper Egypt, sponsorship of the Egyptian National football teams, and support for charitable institutions catering to differently-abled children. Through these initiatives, ACUD strives to make a meaningful impact on society while advancing its broader developmental goals for the NAC.
A Synthesis of Expertise and National Priorities
Khaled’s tenure at the Ministry of Housing, Utilities, and Urban Communities has been instrumental in providing him with invaluable insights into the complexities of urban planning and large-scale project management. This experience has honed his skills in strategic planning, crisis management, and stakeholder coordination.
Moreover, it has reinforced the importance of sustainable development, emphasizing the integration of economic, social, and environmental dimensions into urban planning. These lessons have been crucial in guiding his leadership at ACUD, ensuring that the NAC project aligns with Egypt’s broader development goals.
The New Administrative Capital is designed to cater to all segments of society, reflecting a commitment to inclusivity and comprehensive urban development. In his current capacity as a board member of the Egyptian Federation of Construction and the Mortgage Finance Funds, Khaled gains a broader perspective on urban development and housing finance. This dual role enables him to make informed strategic decisions that are in alignment with national housing policies and plans, as well as Egypt’s Vision 2030, which encompasses social and economic objectives.
These experiences and roles collectively inform his approach to leading ACUD, ensuring that the NAC project not only meets immediate urban development needs but also contributes to the long-term aspirations of Egypt’s national development agenda.
Approach to Stakeholder Engagement in the NAC Development
The New Administrative Capital (NAC) project, with its multifaceted scope, poses significant challenges in balancing the diverse needs of various stakeholders. among these major hurdles are managing expectations, ensuring timely delivery of infrastructure, and maintaining financial sustainability. To address these complexities, the ACUD (Administrative Capital for Urban Development) adopts a transparent communication strategy and actively engages stakeholders in the decision-making process. By implementing robust project management practices, ACUD ensures progress and efficiency are maintained throughout the project.
Furthermore, ACUD continuously solicits feedback from residents and investors to refine its approach and guarantee that the project meets the growing needs of all parties involved. This commitment to ongoing dialogue and responsiveness enables the project to align with the diverse interests and requirements of all stakeholders, ultimately enhancing the overall success and sustainability of the NAC development.
A Blueprint for Sustainable Cities
Khaled emphasizes that innovation plays a pivotal role in establishing sustainable and livable cities. By leveraging cutting-edge technologies, urban planners can create intelligent solutions that enhance energy efficiency, waste management, transportation, and communication. At the New Administrative Capital (NAC), the Administrative Capital for Urban Development (ACUD) technology sector leads the way in integrating these advanced technologies to elevate the quality of urban living.
Smart grids, intelligent transportation systems, and green building techniques are just a few of the innovative solutions being implemented at NAC. These advancements not only enhance the quality of life for residents but also contribute to environmental sustainability and economic resilience. By adopting these forward-thinking technologies, NAC aims to establish a benchmark for modern urban development, ensuring that the city remains both livable and sustainable for future generations.
Progressing Real Estate in Egypt
Khaled, a keen observer of the Egyptian real estate market, notes that the sector is poised for substantial growth, driven by the confluence of urbanization, demographic shifts, and economic reforms. Over the next decade, there is a growing expectation of increased emphasis on sustainable development and smart cities. To stay ahead of the curve, ACUD is focusing on innovative project designs, strategic partnerships, and investments in technology.
In addition, ACUD is exploring new business models and revenue streams, such as the public listing of the company, to ensure long-term growth and financial stability. By adopting these forward-thinking strategies, ACUD aims to lead the way in the evolving real estate landscape, ensuring the development of smart, sustainable urban environments that cater to Egypt’s future needs.
ACUD’s Collaborative Culture
To cultivate a culture of collaboration and innovation, ACUD adopts a multifaceted strategy that prioritizes open communication, continuous learning, and employee empowerment. This approach fosters a dynamic environment where cross-functional teamwork is encouraged and platforms for idea-sharing and innovation are readily available.
To stay ahead of the curve, ACUD invests in comprehensive training and development programs that equip employees with the latest industry trends and best practices. By recognizing and rewarding innovative contributions, the company further motivates its workforce to think creatively and work collaboratively. Through this nurturing environment, ACUD ensures its employees are well-equipped to drive forward the company’s vision and projects, ultimately propelling the organization’s success.
Words of Wisdom
Khaled stresses the importance of continuous learning and adaptability for young professionals in the fields of urban planning and real estate development. He notes that these dynamic fields require a solid foundation in technical skills and an openness to the latest ideas, as they are constantly evolving.
To succeed, Khaled advises building a network of mentors and industry contacts, which can provide valuable guidance and opportunities. He also emphasizes the significance of embracing sustainability and innovation in projects to make a lasting impact. Furthermore, he underscores the importance of perseverance and resilience, as large-scale projects often come with significant challenges.
By adopting these strategies, young professionals can navigate the complexities of urban planning and real estate development, ultimately making a meaningful contribution to the field.
Staying Ahead of the Curve
Khaled prioritizes staying updated with industry trends and best practices by actively engaging with a diverse range of resources. He regularly attends industry conferences, workshops, and seminars to expand his knowledge and network with peers and experts. Furthermore, he closely follows leading publications and research from esteemed institutions focused on urban development and real estate. This comprehensive approach allows him to stay informed about the latest advancements and innovations in the field.
Moreover, Khaled recognizes the importance of networking and encourages his team to do the same. By fostering connections with industry professionals, they gain valuable insights and stay abreast of the evolving landscape. Continuous learning is a core value for him, and he emphasizes the importance of professional development opportunities for his team to ensure they remain at the forefront of the industry.
Successful project or initiative
One of the most successful initiatives under Khaled’s leadership has been the development of the NAC’s Green River, which is set to be the largest central park in the world, providing invaluable ecological, social, and economic significance to the city. This project exemplifies his commitment to sustainability, innovation, and excellence, serving as the heart of the social and recreational life in NAC.
Key factors contributing to its success include meticulous planning, collaboration with leading international architects and engineers, and the use of advanced construction technologies. The Green River not only symbolizes the NAC’s modernity but also highlights Egypt’s capacity for ambitious projects and a strong commitment to confronting climate change for future generations.
A Legacy of Sustainable Cities
Khaled’s most profound satisfaction stems from the tangible, life-changing effects of his projects on the people they serve. Witnessing a city like NAC emerge from the ground, offering employment, shelter, and a superior quality of life, is a deeply fulfilling experience for him.
His driving force is the ambitious vision of crafting sustainable, innovative urban spaces that cater to the needs of future generations. The versatile interplay of challenges and opportunities in urban development continues to inspire him to push the boundaries of what is possible and strive for excellence in every project he undertakes.
