Old Rent Law Explained: What to Expect From the March 2025 Rent Increase
By Malak Khaled
The first quarter of 2025 marks another milestone in the implementation of Old Rent Law No. 10 of 2022. This law regulates old rental agreements, aiming to balance landlord and tenant rights while addressing economic changes.
Effective from March 2022, the law stipulates annual rent increases for units leased to legal entities. The upcoming increase in March 2025 represents the fourth adjustment under this legislation.
15% Annual Rent Increase for Legal Entities
Under Article 3 of the law, rents for units leased to legal persons will rise by 15% annually. This increase will continue until March 2027, at which point landlords regain full control of the properties unless a new agreement is negotiated.
Eviction Timeline and Penalties
The law specifies that old leases for non-residential units rented to legal entities will expire by March 2027. Tenants are required to vacate the premises unless they renew the lease under a new agreement with the landlord.
Failure to comply allows landlords to seek urgent eviction orders through the judiciary. This provision ensures landlords can reclaim their properties after the specified grace period.
Who Does the Law Apply To?
The Old Rent Law primarily targets units rented to legal persons under earlier legislation. This adjustment mainly affects governmental entities and private companies.
It grants a five-year window for legal persons to transition to alternative locations or restructure rental agreements, ensuring a smooth implementation process.
This law does not cover citizens renting residential units under old rent agreements. In November 2024, the Constitutional Court declared fixed rents for these tenants unconstitutional, and Parliament is now working on separate legislation to address their situation.
The Old Rent Law reflects Egypt’s effort to modernize its rental regulations, balancing property rights with economic realities. The March 2025 increase continues this transitional framework, with a focus on non-residential units leased to legal persons, paving the way for a restructured rental landscape by 2027.
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