Egypt clarifies tenant protections in landmark rent law changes - Urban & Transport
Addressing the House of Representatives, Fawzy stated that the revised bill "explicitly affirms tenants' clear entitlement to state-provided housing units," during a parliamentary session devoted to reviewing two key draft laws related to tenancy and property rights.
Focus on old rent contracts
The first bill redefines the legal relationship between landlords and tenants.
The second proposal amends the Civil Code regarding properties where lease terms have ended or are nearing expiration, thereby ending longstanding occupancy protections.
Fawzy commended parliament's willingness to confront the decades-old "old rent" issue. 'This crisis wasn't created by this Parliament or this government. It evolved under exceptional circumstances over many years,' he stated.
He referenced a November 2024 Supreme Constitutional Court ruling that declared the fixed rent system unconstitutional, prompting the government to draft a new legal framework after public consultations with tenants, landlords, and legal experts.
Longer transition for residential tenants
One outcome of those consultations, Fawzy noted, was the extension of the proposed transition period for residential tenants from five to seven years—distinguishing them from commercial/non-residential leaseholders.
'The law does not favour landlords or tenants—it's a response to a long-standing social imbalance that must be addressed fairly,' he said, adding that tailored guidelines will ensure support for those most affected.
Fawzy warned that failing to pass the law could further harm tenants, arguing that the gradual transition and phased rent increases are designed to protect their interests.
The bill specifies that when leases expire after the transition period, both the tenant and their spouse will have priority for replacement housing.
Legal context and geographical focus
Fawzy emphasized that Egypt's legal framework must evolve in line with current economic and social conditions. Old rent laws, he said, were temporary solutions for historical emergencies.
He added that 82 percent of old-rent cases are concentrated in Cairo, Alexandria, Giza, and Qalyubia.
Fawzy also addressed concerns about Downtown Cairo, clarifying that the proposed amendments do not apply to properties in that area. 'Property transactions in these areas are unrestricted, with no limitations on buying or selling for anyone,' he said.
Call for updated data
The session ended with House Speaker Hanafy Gebaly adjourning proceedings until Tuesday.
A heated debate ensued, with opposition MPs and independents voicing concerns and rejecting the draft law.
Gebaly called on the government to submit updated data as requested by MPs, including figures on first-generation tenants, number of original tenants, and land available for new housing, insisting that it be based on current estimates rather than 2017 census data.
CAPMAS head Khairat Barakat said the most recent data covers only Egyptian nationals. The 2017 census recorded 1.6 million original tenants and 3.019 million rented units.
Fawzy pledged to deliver complete data and responses ahead of the next session.
On 17 June, the Housing Committee gave preliminary approval to the draft bill, one of the most complex legal and social reforms in recent years.
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