Egypt's TMG Holding signs MoU for $17bln mixed-use project in Iraq
According to a company statement, the MoU covers the development of a 14 million square metre (sqm) mixed-use project expected to contain around 46,000 units. TMG Holding anticipates total project sales of $17 billion, with recurring income estimated at $1.5 billion per annum once the development is completed.
In April, the EGX-listed company had disclosed that it is negotiating with Iraqi authorities for a mixed-used development in Bahgdad.
The Iraq MoU follows recent milestones for TMG Saudi Arabia, including the launch of Banan City in Riyadh spanning 10 million sqm with estimated sales of $12 billion. Since its launch in 2024, Banan City has recorded SAR 6 billion ($1.6 billion) in sales.
TMG Holding also secured 4.9 million sqm of land in Oman in May 2025 for two new mixed-use developments, which is expected to generate $4.7 billion in sales and $54.8 million in annual recurring income.
The statement said the Iraq deal adds to the Group's growing regional land bank, which now totals 29 million sqm across Iraq, Saudi Arabia, and Oman. Including Egypt, TMG Holding's total land bank stands at 125.9 million sqm.
The company's regional expansion strategy focuses on exporting its Egyptian integrated city model to key Middle Eastern markets.
Combined sales from the three projects in Iraq, Oman, and Saudi Arabia are expected to reach $33 billion over their development lifespans, with a post-tax profit margin of 12–17 percent. The portfolio's recurring income assets are projected to generate $1.7 billion annually, with a profit margin between 75–80 percent.
The company noted that its off-plan sales model—used successfully in Egypt—will reduce upfront financing needs for its regional projects. It added that TMG Saudi Arabia will serve as a key driver for future growth across Saudi Arabia and the broader Arab region.
TMG Saudi Arabia is 60 percent owned by TMG Holding and 40 percent by Saudi-based AlMuhaidib Group.
TMG's foray was preceded by Egypt's ORA Developers, which was awarded a contract last year to develop a new mega residential city 'Ali Al-Wardi' in southeast of Baghdad, according to a February 2024 report by Zawya Projects.
(Writing by Marwa Abo Almajd; Editing by Anoop Menon)
(anoop.menon@lseg.com)
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