Press releases

Cairo, July 27, 2008 - SODIC (Sixth of October for Development and Investment Company) announced the signing of a Memorandum of Understanding (MOU) between SOREAL, a SODIC subsidiary and Bonyan Development and Trading Company, a Citadel Capital subsidiary, for the sub-development of a high-end furniture and accessories mall in Eastown ("The Mall"). The Mall comprises 61,323 square meters of gross retail space on a 16,590 square meter plot. The Mall's concept design is currently being developed for SODIC by The Jerde Partnership, the US leading designer of retail and entertainment destinations.

Bonyan will pay a total of EGP 306,615,000 (approx. US$ 57 million) throughout the construction period for the right to sub-develop "the Mall" in Eastown according to SOREAL's approved master plans and design briefs and under SOREAL's supervision . The transaction is subject to obtaining the necessary governmental approvals and building permits and is expected to be completed within 24 months from obtaining such approvals. Both parties are currently working on finalizing the sub-development agreement.

"We are very happy to sign this MOU with Bonyan as it underscores the significant demand for retail space in Eastown, and validates our view that Eastown is on course to become the new urban hub of East Cairo," said Maher Maksoud, Managing Director of SODIC.

The Eastown Mall will house the leading home furniture and accessory retailers to service the expanding residential developments and the increasing demand of new homeowners. This will be the second project acquired by Bonyan from SODIC, the first being the strip mall near Allegria, SODIC's high-end residential community located on the Cairo-Alexandria desert road.

About Eastown

Eastown is strategically situated on Road 90 and is immediately adjacent to AUC's new campus, near Cairo International Airport. Eastown is designed to become the new urban hub of the Kattameya/New Cairo suburb and will cater to the needs of the 2.5 million population expected to live in the area within the next 10 years. Developed in collaboration with award-winning city-makers Solidere international, Eastown is built on 858,000 square meters of land and will have an estimated population of 30,000. It will offer a variety of residential units from luxury family apartments to student studios, a selection of hotels and serviced apartments, an array of services and retail outlets ranging from malls to high street boutiques and a wide range of office space tailored for large multinationals as well as smaller start-ups. SODIC and Solidere are investing some EGP 10 billion to develop Eastown, and its first phases will be delivered in 2011. Eastown's Master Plan was submitted
to the New Urban Communities Authority for approval in March 2008.