9months 2010 Investors' Presentation - Palm Hills Developments
9months 2010 Investors' Presentation - Palm Hills Developments
9months 2010 Investors' Presentation - Palm Hills Developments
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COMPETITIVE ADVANTAGES<br />
Cost control & speed of delivery<br />
Through vertical integration and dual construction arms<br />
PHD’s unparalleled dual construction arms give the company the ability to simultaneously deliver multiple<br />
projects — a strength that lends significant sales and cash cycle advantages.<br />
The dual construction strategy:<br />
1) PHD constructs at cost for superior margins: <strong>Palm</strong> <strong>Hills</strong> <strong>Developments</strong> is the only real estate developer in<br />
Egypt with an in-house construction unit.<br />
2) PHD ensures speed, capacity and quality through a mutually exclusive agreement with Egypt’s second<br />
largest construction firm, Hassan Allan Construction: The companies share a joint venture, UCC, based on<br />
a cost plus contract basis that locks in attractive 9.5% margins, compared to the average 20 – 25% cost<br />
plus paid by competitors.<br />
Significant property deliveries in the<br />
coming 4 years<br />
200<br />
1,715<br />
1,465 1,463<br />
772<br />
<strong>2010</strong> 2011 2012 2013 2014<br />
No. of units to be delivered<br />
Significantly lower construction costs<br />
compared to the industry average<br />
9.50%<br />
22.50%<br />
PHD Industry avg.<br />
PHD Industry avg.<br />
Investors’ <strong>Presentation</strong> | November <strong>2010</strong><br />
21