Fire Extinguished at BIG Construction Site in Petah Tikva, Financial Impact Still Unclear

A fire broke out in the underground parking lot of the BIG commercial and employment complex construction site in Petah Tikva, covering an area of approximately 2,000 square meters. Firefighters battled the blaze for hours before declaring full control and extinguishing all hotspots. Following the fire, the focus has shifted to assessing the extent of damage to the construction work already completed and whether the incident will delay the project timeline.

Experts warn that the damage from such a fire goes beyond what was burned. Extreme heat exposure can compromise concrete and structural components, while smoke and firefighting water may harm insulation, building materials, and finishing work, potentially requiring dismantling and redoing parts of the project. Attorney Eti Greenberg-Gal, an insurance and risk management consultant, emphasized that the financial exposure increases as the project advances because more value has already been invested on site.

Construction projects are typically insured under contractor’s all-risk policies covering damages during the building phase. However, the adequacy of coverage depends on the specific policy terms, coverage limits, and exclusions. Greenberg-Gal noted that this event highlights the importance of thorough risk management and insurance planning before construction begins, as it will determine whether the developer can fully recover costs or must cover uncovered expenses out of pocket.

The full financial damage and any impact on the project schedule remain unknown pending completion of engineering inspections and damage assessments. The BIG complex is one of the largest ongoing commercial developments in the region, making the outcome of these evaluations critical for its future progress.