Jerusalem Construction Starts Plummet, Tel Aviv Surges Amid Market Shift

New data reveals a dramatic reversal in construction starts across Israel's major cities, with Jerusalem experiencing a significant decline while Tel Aviv sees a substantial increase. Jerusalem's construction starts have fallen by 30%, contrasting sharply with Tel Aviv's surge. This shift is occurring despite a national record of 84,000 building permits issued, though the number of completed apartments has decreased by 10% nationwide.

The report highlights concerns about the impact of new construction, particularly large office towers, with some Jerusalem residents reportedly complaining about the city "drowning" in development. The article also touches upon the broader real estate market, questioning the value of recent construction efforts given sales figures, with only 53 apartments sold out of 100,000 interested parties in one instance. The difficulty in selling apartments is noted as being greater in Tel Aviv than in Jerusalem, despite the contrasting trends in new construction starts.

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