Housing Boost Approved for Bat Yam Project Over City Objections
A district planning committee has approved significant changes to the "Sha'ar Yosפטal" urban renewal plan in Bat Yam, overriding objections from the city municipality. The revised plan prioritizes residential development, increasing the number of housing units by 21% (249 units) to a total of approximately 1,424. Concurrently, commercial and employment space will be reduced by about 11% (18,700 square meters), leaving approximately 147,000 square meters for business and commerce.
The original plan, published in December 2022, envisioned demolishing 479 existing apartments and constructing 1,175 new units alongside 167,000 square meters of commercial space on a 62-dunam site near the Yosפטal interchange. However, the District Planning Committee deemed the initial plan unfeasible due to changing market conditions, including rising interest rates and construction costs, which made it unattractive to developers. Only one of three sub-complexes had attracted a developer, the Perskovsky company.
The committee's decision to approve the amended plan emphasized practicality, stating that a feasible plan, even with compromises on the original vision, is preferable to one that remains only on paper. The revised plan includes smaller average apartment sizes (reduced from approximately 131.8 to 123.5 square meters) to accommodate the increased density.
Bat Yam municipality had argued that the Yosפטal entrance area is crucial for the city's economy and employment, and increasing residential units at the expense of commercial space would weaken this function, especially given the city's existing shortage of employment areas. They also feared that developers would build the profitable housing units while leaving the office towers unbuilt.
The appeals subcommittee rejected these concerns, asserting that the reduced ratio of employment to residential space (from 52% to 46%) still allows for a viable mix of uses that will keep the area active. Regarding the fear of unbuilt office spaces, the committee noted that the plan is for demolition and reconstruction, requiring swift housing for residents. Commercial spaces can be developed later when economic conditions improve. A legal representative for the developer highlighted the committee's crucial stance that urban renewal plans must be economically viable under current market conditions, not reliant on future hypothetical improvements.