Bonyan Development and Trade

Bonyan for Development and Trade is a specialty real estate developer operating in Egypt. The company builds state-of-the-art commercial real estate projects, namely design, furniture and home accessories malls under its Designopolis brand. The Sixth of October City Designopolis in Western Cairo now includes over 200 retail establishments representing 100 world-class brands. Bonyan plans to develop a second property in New Cairo.

Bonyan also operates the malls it owns, with tenants including leading names in the national and global home furnishings and accessories market.

The malls will showcase a wide range of brands under one roof to capitalize on the highly fragmented industry that now serves Cairo’s real estate sector. The concept also addresses the increasingly sophisticated demand patterns of a new generation of homeowners who expect to purchase global brands close to home.

In Egypt alone, there are 635 million square meters of land currently being developed into new communities in east and west Cairo.

OPERATIONAL UPDATE

In September 2007, Bonyan purchased a 116,000 square meter plot of land from the Sixth of October Development Company (SODIC) to be developed into its flagship mall. The facility includes retail space and offices as well as designated areas for galleries, food outlets, special events and seminars. Bonyan began regular operations of Designopolis in the fourth quarter of 2009 and fully launched phase one of the project in June 2010.

The first phase of the 116,824 square-meter open-air mall is fully leased with an impressive list of tenants that include major local and international retailers, architectural and interior design consultancies and art galleries. Designopolis was designed by the renowned architectural firm Skidmore, Owings and Merrill, and will be Egypt’s first Leadership in Energy and Environmental Design (LEED) certified construction project. When complete the mall will house a total of 300 outlets and will include attractions such as an auction house, exhibition hall, interior design school, amphitheater and public design library.

Bonyan continues steady development on Designopolis’ second and third phases. The second phase will include an additional 42 shops and phase 3 (“Gallery Level”) will have the flexibility of providing smaller retail spaces and will therefore be able to accommodate approximately 150 shops. The launch of both phases 2 and 3 is set for 2012.

In 1Q10 Bonyan announced that its EGP 185 million syndicated loan facility had closed. The company will continue to invest in commercial real estate concepts backed by powerful demographic factors in Egypt and the region. Bonyan is currently studying opportunities in Saudi Arabia, Qatar and the UAE, where rapid growth in the real estate sector has created strong demand patterns.