New Gaza Border Industrial Park Opens, Reaching Full Occupancy
A new industrial park in Kibbutz Mefalsim, located just one kilometer from the Gaza Strip border, has officially opened. This marks the first private project in the Gaza envelope region to be completed since the October 7th attacks and the first in the area to receive official occupancy permits.
The project, developed by Shiboleth Group and Kibbutz Mefalsim, comprises two buildings totaling approximately 13,500 square meters. Construction was initially planned to begin shortly after the Simchat Torah holiday in 2023 but was delayed by about 12 months due to the outbreak of the "Swords of Iron" war and the evacuation of the kibbutz for nearly a year.
Despite significant challenges including a severe labor shortage, ongoing conflict, and unprecedented logistical complexities, the developers met their targets. High demand resulted in full lease agreements being signed, achieving 100% occupancy during 2025, more than six months before the official construction completion and permit issuance.
The inauguration event drew around 200 guests, including kibbutz members, business partners, and local officials. Notably, all suppliers for the event, from catering to photography, were local businesses from the Gaza envelope region, reflecting a commitment to mutual support and local economic strengthening.
Eran Markovitz, CEO of Shiboleth Group, described the project's completion as a significant Zionist and national statement, emphasizing the decision to continue construction amidst ongoing conflict. Harel Friedman, CEO of Bank Leumi, which financed the project, highlighted it as an example of the Israeli economy's resilience and a factor in convincing international investors of its strength.
