Qatari Diar, the real estate arm of Qatar’s sovereign wealth fund, has started work on the first phase of a massive tourism and luxury development along Egypt’s northwestern Mediterranean coast, which may eventually draw about $30 billion in investment.
•Qatari Diar is launching the first phase of the Alam El-Roum luxury development on Egypt’s Mediterranean coast, with a total projected investment of almost $30 billion.
•The initial phase will cost around $4.5 billion and aims to transform a remote coastal stretch into a year-round urban and tourism center.
•The project will feature luxury residences, hotels, marinas, sports facilities, and public infrastructure, with 85% of the development dedicated to open areas.
•Approximately 30,000 direct and indirect jobs are expected to be created in the first phase, supporting Egypt’s economy and infrastructure.
The initial phase of the Alam El-Roum development is expected to cost around EGP220 billion ($4.5 billion), with a total value of roughly $29.5 billion.
In late 2025, Qatari Diar, the sovereign wealth fund’s property development arm, contributed $3.5 billion to the Egyptian government.
A month later, it was reported that the company would invest $29.7 billion in a landmark coastal development on Egypt’s Mediterranean shore, marking one of the largest foreign real estate ventures in the country’s history.
The agreement, negotiated with Egypt’s New Urban Communities Authority (NUCA), reflects increased Gulf confidence in Cairo’s economy at a time when the government is desperately seeking external finance to confront soaring debt and a major budget gap.
It also marks Qatar’s first substantial investment in Egypt since pledging $7.5 billion earlier in 2025.
Alam El-Roum tourist plan
The investment is set to turn Alam Al-Roum, a pristine stretch of coastline about 480 kilometers (300 miles) northeast of Cairo, into an expensive, year-round attraction aimed at attracting foreign visitors.
The designs call for luxury residences, golf courses, marinas, educational institutions, and public infrastructure, transforming the distant location into a self-contained metropolitan center.
According to Qatari Diar CEO Sheikh Hamad bin Talal Al-Thani, the water features would facilitate leisure activities such as swimming and boating, as seen on the Arabian Gulf Business Insight.
The property would also include 195,000 square meters of artificial lakes, which will be swimmable.
The majority of the land will be allocated to open areas, accounting for approximately 85% of the total development.
The project will also include a strategically placed marina with a capacity of 50 vessels.
There are plans for four hotels with a total capacity of over 1,000 rooms, as well as sports facilities, retail businesses, and foreign restaurants.
“The first phase is expected to create nearly 30,000 direct and indirect job opportunities,” Sheikh Hamad said at the ceremony, attended by Egypt’s prime minister Mostafa Madbouly.
“The project is based on the establishment of an integrated urban city at a world-class level, operating throughout the year and not a tourist resort.
“This will transform the region into a hub for integrated urban and development projects, making it a sustainable tourist, urban investment and development destination,” he added.
Qatar and Egypt have for years enjoyed a budding relationship characterized by high-level partnerships intended to bring in billions in return.
Very recently, both countries initiated an energy deal valued at half a billion dollars.
Egypt and Qatar energy deals
From Israel to Qatar: Egypt secures LNG supply to power its energy expansion
From Israel to Qatar: Egypt secures LNG supply to power its energy expansion
In May 2026, the Qatar-based aviation fuel company, Green Sky Capital, secured funding for a sustainable aviation fuel (SAF) production facility in Egypt’s Ain Sokhna, believed to be valued at $500 million.
The facility will be built on a 100,000-square-meter site in Ain Sokhna, Egypt’s Suez Canal Economic Zone, to serve as a regional energy center for the Middle East and North Africa (MENA) area.
Once finished, it will have the potential to generate up to 200,000 tons of biofuels per year, with commercial operations expected to begin by the end of 2027.
Earlier this year, Egypt and Qatar signed an agreement to increase the supply of liquefied natural gas (LNG) and strengthen energy cooperation.
The agreement offers a framework for cooperation, investments, and technological partnerships in gas exploration, processing, and energy infrastructure.
Egypt is now dealing with rising electrical demand as well as depleted domestic gas supplies.
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