Ahmed Kamel – Egypt Daily News
In a detailed press conference following the weekly cabinet meeting in the New Administrative Capital, Minister of Parliamentary and Legal Affairs and Political Communication, Counselor Mahmoud Fawzy, addressed public concerns surrounding Egypt’s newly issued Old Rent Law, officially known as Law No. 164 of 2025. The law, which has been under discussion for months, aims to regulate the relationship between landlords and tenants of pre-1996 rental contracts and bring long-standing disputes over old rent agreements to a fair and organized conclusion.
Fawzy emphasized that the law is not merely a legal necessity but a comprehensive solution to a decades-old national issue one that has burdened both landlords and tenants and left valuable real estate assets in disrepair due to frozen rents and legal ambiguity. “This law was crafted after extensive debate in Parliament, incorporating a wide spectrum of viewpoints,” he said. “It is a direct response to a Constitutional Court ruling in November 2024 that deemed fixed rents without revision unconstitutional. But rather than only addressing the pricing mechanism, the government opted for a holistic approach.”
Clarifying the Law’s Scope
One of the most pressing concerns among citizens has been the scope of the law’s application. Fawzy offered clear assurances that all rental contracts signed after January 31, 1996, remain entirely outside the scope of the new law regardless of their duration or rent value. These agreements continue to be governed by civil law, which respects the terms agreed upon by both parties.
The new law only applies to contracts signed prior to that date. Even then, Fawzy noted, it introduces a phased approach: a seven-year transitional period for residential units and a five-year period for non-residential properties. “This is not about eviction or forced displacement,” the minister clarified. “It is about renegotiating terms and restoring a fair, consensual relationship between landlords and tenants.”
Should no agreement be reached after the transitional period, landlords may seek repossession through legal proceedings. However, Fawzy stressed that the state would not leave anyone without a home. “There will be no evictions by force of law. The courts remain the final arbiter,” he said.
Guaranteed Housing and No Forced Evictions
Reaffirming the state’s role in protecting vulnerable citizens, Fawzy reiterated that Egypt is legally and morally committed to providing alternative housing for those in need once the transition period ends. “This government, under the leadership of the President and the Prime Minister, has demonstrated its commitment to social justice through initiatives like ‘Haya Karima’ and the complete eradication of slums. Would a state that invested billions in these programs now allow families to become homeless? Absolutely not.”
To facilitate the process, the Ministry of Housing will launch a digital platform to collect applications from affected tenants seeking alternative housing. For those unable to navigate digital tools, forms will also be made available at all post offices across the country.
Importantly, Fawzy confirmed that alternative housing will be offered across different economic tiers premium, middle-income, and affordable through various schemes, including rent-to-own and full ownership options. “This isn’t another social housing program,” he clarified. “It’s a separate policy with different eligibility criteria and mechanisms tailored to address this specific issue.”
Rental Prices and Area Classifications
From September 2025, a minimum rent of EGP 250 per month will be applied to all residential units covered under the law. However, final rent values will vary depending on location and property classification. Areas will be divided into three categories, premium, middle-income, and economic — determined by specialized committees under the supervision of each governor.
In premium areas, the rent will be 20 times the current fixed rate, with a minimum of EGP 1,000. In middle-income zones, the rent will be 10 times the current rate with a minimum of EGP 400. In economic areas, it will be 10 times the base rent, with a minimum of EGP 250.
For non-residential units, the rent will be set at five times the current rate without a minimum threshold, and adjustments will follow the same timeline as residential units beginning in September, or in August for contracts stipulating rent is due after the 5th of each month.
Transparent Implementation and Oversight
Fawzy detailed the mechanisms the government will employ to ensure transparency and fairness in implementing the new law. Prime Minister Mostafa Madbouly will issue a decree establishing the framework for the area classification committees. These local committees, headed by senior provincial officials and composed of representatives from various agencies, including housing, land surveying, and property tax authorities will complete their assessments within three months, extendable by another three months if necessary.
To avoid conflicts of interest, members of the committees must declare they have no family ties to properties under review, with legal accountability for violations. Their findings will be published in the official gazette and entered into a national digital registry.
Fawzy also underscored that these committees will not be involved in setting rent values, their sole function is to categorize areas for administrative purposes. “The rent rates are determined by law and pre-existing contracts, not by committee discretion,” he clarified.
Legal Safeguards and Social Equity
The minister emphasized that the law includes specific legal protections for long-term tenants. Article 8 of the law grants priority to the original tenant and their spouse for alternative housing allocations. “The state recognizes two levels of entitlement: eligibility and priority. Our primary focus is to ensure that those most affected, especially original tenants and their spouses, are provided for first.”
Drawing comparisons with past legislative precedents such as the 1992 agricultural land rental law and the 2022 law on corporate non-residential leases Fawzy argued that while societal debate is inevitable, the need for reform in the public interest cannot be ignored.
Finally, he reassured all citizens that the law is not only constitutionally sound but also guided by fundamental principles of fairness and responsibility. “This problem has lingered for decades, neglected by successive governments. Now is the time to solve it responsibly, inclusively, and without favoring one party over another.”
A Balanced Resolution to a Historic Problem
Egypt’s new Old Rent Law represents a major legislative step toward correcting longstanding distortions in the country’s housing sector. While acknowledging the sensitivities involved, the government insists that its approach is comprehensive, humane, and enforceable. Through structured timelines, guaranteed housing solutions, and careful oversight, the law seeks to balance the rights of landlords, protect tenants, and preserve Egypt’s valuable but underutilized housing stock.
In the words of Counselor Fawzy, “This law is not about disruption, it’s about resolution. It is a fair and responsible end to an unfair legacy.”
