Saudi Al-Sharif Group Holding (ASG) won the bid to develop the Shepheard Hotel with an investment worth EGP 1.4 billion.
Minister of Public Business Sector Hisham Tawfik witnessed the signing of a contract for financing the renovation of the Shepheard Hotel between the Egyptian General Company for Tourism & Hotels (EGOTH) and Al-Sharif Group Holding (ASG), in the presence of Osama Bin Ahmed Naqli, the Saudi ambassador in Cairo.
According to a statement issued by the Ministry, the hotel development project was put on tender to invite companies for the best bid, which settled for ASG.
The Ministry said that the contract period is 35 years, where the investor gets 69% of the net operating profit for a period of ten years, and then 60% until the end of the contract, while EGOTH will be awarded $1 million in the grant contract.
Meantime, an agreement was reached on a friendly settlement with Rocco Forte Hotels to exit the business, offering other companies the opportunity to manage and operate the hotel.
The contract stipulates that Al-Sharif Group will finance the comprehensive development of the hotel, including furnishing, equipment for operation for 316 rooms and suites at the level of a distinguished five-star hotel service according to internationally recognized within 42 months at the cost of EGP 1.4 billion.
The area of the land on which the hotel is located is about 3198 square meters, and EGOTH company, after closing the hotel in 2013, completed the work of the first phase in December 2018, represented in the treatment and structural support work for all construction elements in the building and all electro-mechanical works at the cost of approximately EGP 198 million.
Shepheard is one of the oldest historical hotels in Egypt, which was formerly based in the Azbakeya district until it was burned down in 1951 within the Cairo fire incident. The Egyptian government decided to change its location to Garden City area, in front of the Nile River to reopen again in 1957.
Follow the latest news on Google News
