Urban Renewal Projects to Add Over 6,000 New Apartments Nationwide

The Israeli National Urban Renewal Authority has announced the declaration of 12 new urban renewal "evacuation-construction" (pinui-binui) complexes across the country. These projects will demolish 1,867 existing housing units and replace them with 6,154 new apartments, aiming to increase housing supply and address high prices. Of the 12 declared complexes, seven were initiated through the "Authorities Track," involving local government cooperation, and five through the "Developers Track," driven by private initiative. The declaration process grants developers crucial tax benefits and legal mechanisms to proceed with projects, even against reluctant residents, indicating these complexes are in an advanced stage of readiness.

The newly declared complexes are located in Tel Aviv-Yafo, Herzliya, Jerusalem, Holon, Bat Yam, Pardes Hanna-Karkur, and Shlomi. Notable projects include the Ben Gurion complex in southern Herzliya, slated for 1,339 new units replacing 371 existing ones, and a complex in Shlomi near the northern border, which will build 825 new, protected units to replace 174 existing ones lacking standard security features. Tel Aviv-Yafo will see six complexes declared, adding 2,355 new units.

The Director of the National Urban Renewal Authority, Director of the National Urban Renewal Authority, emphasized the authority's commitment to advancing urban renewal projects nationwide, including in the Galilee and Negev regions. He highlighted that urban renewal also serves as a national security solution, particularly for communities near conflict zones, by providing protected housing and modern infrastructure. The Director of the National Urban Renewal Authority noted ongoing efforts with various government ministries and the State Appraiser to remove barriers and expedite the renewal process, especially amid high construction and financing costs.

Shi Naor, Deputy CEO of Urban Renewal at the Shi-Hai Group, commented on the Pardes Hanna-Karkur project, noting the local council's designation of the Kennedy complex as a preferred project provides crucial certainty. He described the project's long development, including six years of resident agreements and ongoing economic viability assessments, as a testament to its resilience and importance. The project, expected to yield around 400 housing units and commercial spaces, is now preparing for a building permit application.