Israeli Firms Negotiate Advanced Deal for 3,200 Acres of Orchards
Translated & summarized from Globes by baba
Blue Square Real Estate and Nadav B. Logistics are in advanced talks to buy about 3,200 acres of orchards from Yachin Hakal for approximately $13.5 million. The companies intend to develop an agro-solar project on the land, combining farming with solar energy production. This initiative aligns with a recent government plan to regulate such dual-use facilities. Nadav Ben Layla has existing agricultural and logistics operations, and has previously partnered with Blue Square Real Estate.
The story in 6 lines · by baba
- Blue Square Real Estate and Nadav B. Logistics are negotiating to buy 3,200 acres of orchards for $13.5 million.
- The planned agro-solar project will combine farming with solar energy production.
- The land is located in the "Ten" settlement area between Yavne and Ashdod.
- A new government plan regulates agro-solar facilities, ensuring continued agricultural activity.
- Nadav Ben Layla already operates citrus orchards and has partnered with Blue Square Real Estate before.
- The seller, Yachin Hakal, is a veteran agricultural group with real estate holdings.
Blue Square Real Estate, controlled by Moty Ben Moshe, and Nadav B. Logistics, owned by real estate developer Nadav Ben Layla, are in advanced negotiations to acquire rights to approximately 1,300 dunams (about 3,200 acres) of orchards from the Yachin Hakal group for roughly 50 million shekels. The land is located in the "Ten" settlement area, between Yavne and Ashdod. The companies plan to develop an agro-solar project on the site, integrating agricultural cultivation with solar energy production. The proposed price reflects about 38,500 shekels per dunam.
The agro-solar facilities, also known as agrivoltaics, involve installing solar panels above agricultural land to allow for continued farming. The goal is to generate electricity while maintaining agricultural activity, with the system adapted to specific crops and their care needs. For orchards, this includes considering tree height, light penetration, and access for maintenance and harvesting.
In February, the government approved a national plan (TAMA 1/24) that regulates the establishment of agrivoltaic facilities. This plan distinguishes them from regular ground-mounted solar installations and includes mechanisms to ensure ongoing agricultural activity as a condition for operation, with sanctions for cessation.
Nadav Ben Layla already has significant involvement in the citrus sector through his company Port Hadarim, which cultivates and markets citrus fruits on about 1,500 dunams. This new move complements Ben Layla's existing activities in industry, logistics, and commerce, including land acquisition, property development, and management. The group also has interests in cold storage, agriculture, and infrastructure, and has recently expanded into energy and data centers.
This is not the first collaboration between Nadav B. Logistics and Blue Square Real Estate. In July, it was reported that the companies were partnering on a logistics facility near Ashdod Port, an investment of approximately 140 million shekels. They also plan to build a cold storage facility for about 160 million shekels.
Yachin Hakal, the seller, is one of Israel's veteran agricultural groups, formed in 1952 by the merger of Yachin and Hakal. The group was later acquired by businessman Sami Shimon and is currently owned by his wife Angela Shimon and their daughter Alexandra. Yachin Hakal also holds income-generating real estate assets.