Palm Hills Developments (PHD) announced that it had successfully launched sales of the first tranche at its new project, Palm Hills New Cairo, comprising of 157 standalone units. The launch was fully sold out, with a total sales value of EGP1.04bn. The company also announced that it had received offers for 250 units. The project was launched on 15 November. Palm Hills New Cairo is a co-development project with NUCA, spread over 2.1mn sqm, on a revenue-sharing basis. Construction works of the first phase is set to commence in 2017, with all unit deliveries scheduled for completion during 2021. Our contracted sales estimate for 2016e does not include any sales from Palm Hills New Cairo (accounted for in 2017 in our numbers), which represents an upside risk to our 2016 estimated, should these reservations get transformed into contracts before year-end. (Company disclosure, Mai Attia, Sara Boutros)   Palm Hills: EGP3.28 as of 22 November 2016, Rating: Buy, FV: EGP3.06 per share, MCap: USD435mn, PHDC EY / PHDC.CA