The Egyptian government has signed partnership contracts with Emaar Misr and City Stars Group to launch Marassi Red Sea, a large-scale tourism and real estate development in the Red Sea governorate.

The agreement, valued at approximately EGP 900 billion ($18 billion), was signed on Sunday by Mohamed Alabbar, founder of Emaar Properties, and Hassan El-Sharbatly, Vice Chairman of City Stars Group. Prime Minister Mostafa Madbouly attended the signing, alongside Housing Minister Sherif El-Sherbiny, Investment and Foreign Trade Minister Hassan El-Khatib, and Presidential Adviser for Urban Planning, Gen. Amir Sayed Ahmed.

Officials confirmed that the project follows the resolution of state-led settlement procedures, which extended land-use rights and formalised Emaar’s role as master developer. Completion is expected within four years.

Government representatives said the new initiative builds on the model of Marassi North Coast, Emaar Misr’s flagship development on the Mediterranean. That project drew more than 4 million visitors in three months, surpassing the annual tourist figures of some European destinations.

Located across 2,426 feddans on the Red Sea coastline and approximately 30 minutes from Hurghada International Airport, Marassi Red Sea will combine residential, hospitality, and leisure components. The development will feature 12 luxury hotels, a marina complex including a main harbour and two boutique marinas, a 400-metre waterfront pier, and navigable canals.

Plans also include private beaches, Maldives-inspired floating cabins, more than 500 retail and dining outlets, schools, healthcare facilities, and wellness centres. A designated area known as Marassi Wonders will accommodate a conference centre, commercial district, aqua park, sports complexes, lifestyle clubs, and landscaped gardens. Large-scale afforestation initiatives are also included in the project design.

The development is forecast to generate between 150,000 and 170,000 jobs during its construction phase, and an estimated 25,000 permanent positions once operational. It is also expected to boost activity in related sectors such as aviation, ports, agriculture, logistics, and retail.

Officials highlighted the project as part of Egypt’s long-term strategy to expand its tourism and real estate industries, presenting the Red Sea as a key destination for luxury and sustainable tourism.

The agreement follows a similar landmark deal in February 2024, when Egypt secured a $35 billion investment with the UAE’s ADQ for the development of Ras El-Hekma on the North Coast. That project, the country’s largest-ever foreign direct investment, covers more than 40,000 feddans and is planned to include residential neighbourhoods, resorts, commercial hubs, and a free economic zone.