The building, located in the Lazoghli area south of Tahrir Square, has stood largely unused since government ministries relocated to Egypt’s new capital. Authorities are now seeking to repurpose vacant state-owned properties as revenue-generating assets.
According to the ministry, the redevelopment will require an estimated investment of EGP 800 million ($25.9 million). The project includes a 364-room hotel, hotel apartments, 35 commercial units, office and administrative space, and entertainment facilities covering about 20,000 square metres. The complex is expected to create around 3,000 direct jobs and 10,000 indirect jobs, with completion targeted for the first half of 2027.
Reliance Ventures, the hospitality investment arm of Reliance Egypt, a conglomerate active in logistics, transportation, ports, mining, and construction materials, is developing the project. The hotel component will be operated by global hospitality giant Marriott International, according to the ministry.
El-Khatib said the project aligns with government efforts to increase returns from state-owned assets and attract private sector and foreign investment, as part of a broader strategy led by Egypt’s Sovereign Fund.
Established in 2018, the Sovereign Fund of Egypt (TSFE) partners with local and international investors to redevelop underused state assets rather than sell them outright, with the stated aim of supporting public finances.
The redevelopment is part of wider plans for downtown Cairo and the former ministries district, which include new hotel capacity, commercial development, and the rehabilitation of historic buildings. The fund said earlier plans for the area include thousands of hotel rooms and expanded green spaces.
In July 2024, Marriott and Reliance Ventures signed an agreement to establish a Moxy Hotel at the site, marking the brand’s first presence in the area. Operations are expected to begin in 2029.
The project comes as Egypt seeks to expand hotel capacity amid rising tourist arrivals. The cabinet recently approved a six-month extension of an EGP 50 billion tourism financing initiative, starting in October 2025, to support hotel development nationwide.
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