The Role of Foreign Property Laws in Stimulating Sustainable Real Estate Development in Dahab, South Sinai governate, Egypt

Abstract

This study investigates the impact of foreign property ownership laws and use rights on real estate investment in Dahab, Egypt—a prominent tourist hub on the Sinai Peninsula. The research addresses a core problem: the extent to which Egypt's legal framework supports or hinders foreign investment in Dahab's real estate sector. Adopting a comparative and policy-oriented approach, the study aims to identify key factors influencing investment, including regulatory clarity, legal transparency, investor protection, and policy coherence. By combining rigorous scientific methods with practical insights, this research provides a comprehensive roadmap for Dahab's sustainable development. The findings highlight the city's potential to become a global hub for tourism and real estate investment while preserving its unique cultural and environmental heritage. Implementing the Dahab Strategic Development Plan 2050—supported by a transparent legal framework and targeted investment strategies—will be instrumental in achieving this vision. This study not only contributes to the academic understanding of real estate investment dynamics but also offers actionable recommendations for policymakers, investors, and urban planners to ensure Dahab's long-term viability and prosperity. Developed in collaboration with the Central Agency for Public Mobilization and Statistics, the research offers a detailed demographic and spatial overview of Dahab's resident population and built environment. Key findings reveal that the majority of foreign residents in Dahab are connected to the local community through marriage, accounting for approximately 90% of the non-Egyptian population. Russian, British, and American nationals represent the largest foreign groups. While cultural diversity enhances the city's global appeal, it also presents economic and planning challenges, such as rising costs and growing pressure on services. The real estate sector shows signs of both growth and surplus: 4,605 buildings were surveyed, with a strong focus on residential use and a notable number of vacant or under-construction properties. The study emphasizes that while Dahab's real estate market presents both opportunities and risks, attracting and sustaining foreign investment requires a transparent legal framework aligned with Egypt's broader development goals.