Real estate valuation expert Mohamed Ghobashi, secretary general of the New Cairo and Administrative Capital Developers Association, board member of the Real Estate Investment Division and head of Scope Real Estate, reviewed his proposals and vision about the amendments that can be made regarding the old rent law, following the Supreme Constitutional Court’s ruling that some articles of the old rent law are invalid, pointing out that these proposals contribute to achieving a balance between the interest of all parties, pointing out that these proposals contribute to balancing the interest of all parties.
He explained that the crisis of the old rent because it is not limited to a period of time, and at the same time the value is determined over the ages and times, and therefore there must be solutions to these issues that are fair to all parties, including the closed unit, so there must be a solution for that, indicating that he believes that the closed unit for more than 5 years must be canceled, and the closure of the unit during this period can be proven in more than one way, as the closed unit without use has not consumed electricity for it, and the cancellation can be for a value that is one third of the value of the similar unit in the market
He pointed out that the relationship must be stopped for the first heir up to 9 years from the date of issuance of the law, provided that the husband and wife die with the collection of real estate tax on all units, and these proposals strongly contribute to the gradual shift from the old rent to rent in a fair way that enables the original unit owner to benefit from his property and preserve it
He pointed out that amending the old rent law and raising the rental value according to specific controls achieves a benefit for all parties, as the state obtains taxes from the rental value that the owner receives, and the unit is maintained with the activation of the occupants’ union law and thus its external appearance is better, and the owner gets a fair rental value for his unit, as for the tenant, the unit will be maintained and preserved and be a human and safe unit to live in, so there are old rental units since 1960 that have been rented and the rental period reaches 59 years, which is contrary to the Constitution and the law.
He added that there are old rental units since 1960 that have been rented for more than 59 years, which is contrary to the constitution and the law, and there are many citizens who have closed the unit without benefiting from it, which prevents the owner from benefiting as well, so the rental value is adjusted to one-third of the rental value in a similar unit for the rented unit with an annual increase of 7%.
Also, the tenant must be compensated with a percentage not less than 35% of the market value of the unit, and since the rent is not inherited, for the unit in which the father died, the rent is adjusted to 35% of the rental value of the unit in the same area with an annual increase of 7%, and the relationship is released 9 years after the death of the father, after which the rent is determined according to the prevailing rent in the area, and in the case of the death of the wife, the rent does not extend to the adult son or daughter, and the period of correction is nine years.
He pointed out that the Constitutional Court’s ruling invalidating some articles of the old rent law restores justice to all parties, restores the right to its owners, and achieves dignity for the owner and the tenant.
