Egypt’s Talaat Moustafa secures Iraq license, targets $18.8 billion Baghdad mega project

Talaat Moustafa Group (TMG) Holdings, Egypt’s largest publicly listed developer under Egyptian billionaire Hisham Talaat Moustafa, has secured a key investment license in Iraq, paving the way for a large-scale integrated urban development in Baghdad with projected sales of $18.8 billion, as the developer accelerates its regional expansion strategy.

The license, issued on May 24, 2026, by the Iraqi National Investment Commission, was granted to the group’s subsidiary, Talaat Moustafa Company Baghdad, along with access to a land bank of approximately 12.8 million square meters in southwest Baghdad.

Building Iraq’s next integrated city

The development will comprise about 43,000 residential units designed to accommodate roughly 250,000 residents upon completion, positioning it among the largest private real estate projects in Iraq.

The master plan includes about 2.3 million square meters of non-residential built-up space, featuring retail and commercial assets such as a regional mall, office complexes, hospitality facilities, schools, healthcare centers, and religious and civic infrastructure.

The project will also incorporate sports and social clubs, entertainment venues, and expansive green spaces, forming a self-sustained urban community supported by smart technologies and sustainable infrastructure.

Long-term revenue and returns

Preliminary feasibility studies indicate the project could generate cumulative sales of approximately $18.8 billion, with recurring annual revenues of around $108 million upon full completion, driven largely by leasing and hospitality assets.

TMG expects the development to deliver an overall gross margin of about 20%, with a construction timeline of roughly 16 years and full sell-out projected within 12 years, offering long-term value creation for shareholders.

Strategic location and expansion push

The land is located within Baghdad’s Financial and Economic City, with strong connectivity to key administrative districts and proximity to Baghdad International Airport, enhancing its commercial appeal.

The Iraq project forms part of TMG’s broader regional expansion drive, executed through its Saudi-based platform, Talaat Moustafa Group KSA.

Following the addition, the group’s total land bank has expanded from approximately 115 million square meters to about 128 million square meters, adding an estimated $3.58 billion in land value.

Deepening footprint in high-growth markets

Hisham Talaat Moustafa, who holds a 43.2% stake in Talaat Moustafa Group Holding, continues to drive the group’s expansion, supported by a diversified model spanning real estate and hospitality.

TMG operates 11 hotels across Egypt through its ICON Hospitality platform, with properties managed by global brands including Four Seasons Hotels and Resorts, Mandarin Oriental Hotel Group, Kempinski Hotels, and Steigenberger Hotels. In the first quarter of 2026, net profit rose 24% to EGP5.5 billion ($103.9 million), while backlog climbed to EGP457.9 billion ($8.65 billion), reinforcing long-term revenue visibility.

Total assets reached EGP475.2 billion ($8.98 billion), with equity at EGP170.6 billion ($3.22 billion). Debt stood at EGP14.7 billion ($277.8 million), largely tied to hospitality projects, while the company maintained a strong net cash position of EGP71.9 billion ($1.36 billion). TMG’s land bank in the Gulf Cooperation Council is projected at 28 million square meters, boosting foreign-currency earnings and recurring income.

The Iraq project reflects the group’s strategy of exporting its integrated community model into underpenetrated markets with strong housing demand and rising purchasing power. As Iraq continues to rebuild and modernize its urban infrastructure, large-scale private sector investments such as TMG’s Baghdad project are expected to play a central role in shaping the country’s long-term economic transformation.