Israeli real estate group Av-Gad Holdings has won a second major urban renewal tender in the northern city of Karmiel, further expanding its footprint in the region. The company, which develops and builds housing and works in urban renewal, was selected to plan and execute a project in the HaChavatzlet complex.
The plan calls for demolishing about 49 existing apartments and replacing them with about 274 new units, along with public areas, extensive commercial and employment space, and advanced environmental planning. The project could grow if representatives of nearby buildings join in.
This comes about four months after Av-Gad announced its first Karmiel win, in the Ashkol South 2 complex, where 280 homes are to be cleared for 1,550 new units. The HaChavatzlet project will also be carried out with the Savyonim Group through the joint subsidiary Savyoni Av-Gad, which handles their shared northern projects.
Av-Gad CEO attorney Raam Rotzon said the company is “cementing its hold” in Karmiel with another renewal win, calling it part of a strategic push over the past year to expand in the north. He said Karmiel’s recently signed housing agreement with the Housing Ministry is a foundation for urban renewal and city growth. Savyonim vice president for business development Mark Dubnov said the partnership combines deep entrepreneurial experience with long-term strategy, and described the project as a growth engine for the city and its residents.
Karmiel, led by veteran mayor Moshe Koninsky, has seen stronger development, better transport access thanks to the rail line, and rising demand for quality housing. Under the city’s housing agreement with the Housing Ministry, the state is expected to invest about 4.7 billion shekels in infrastructure, new public buildings, improved transport access, and new employment centers. Over the past year, Av-Gad has also won projects in Kiryat Ata, Kiryat Motzkin, Kiryat Yam, Kiryat Bialik, and additional projects in Nof HaGalil and Karmiel, totaling about 10,000 housing units.
