Ron Hochman Launches Real Estate Investment Fund Targeting Urban Renewal Projects in Israel
Ron Hochman, former CEO of Mizrahi Tefahot Invest, is establishing a new real estate investment company aiming to build a portfolio worth one billion shekels over the coming years. The firm will focus on equity investments and mezzanine financing through strategic partnerships with real estate developers, primarily operating within Israel. Despite the current downturn in Israel's housing market, including a peak in canceled apartment purchases reported recently, Hochman, who left the bank in February, anticipates a market recovery.
The company will emphasize urban renewal projects, such as evacuation and rebuilding (pinui-binui) and Tama 38, which are becoming central to housing supply due to limited available land in high-demand areas and the need to strengthen and renovate existing buildings. Many developers are seeking financing solutions and financial partners capable of managing risks in a volatile market, according to Hochman and his partner Tsuri Levy, who presented their plans to family offices and private investors. Levy, Hochman’s former deputy at Mizrahi Tefahot Invest, brings experience in investment management, credit, and valuations.
The new company plans to offer developers a broad, customized range of financial solutions rather than off-the-shelf products. Their growth target is to manage assets totaling approximately one billion shekels within a few years, with an initial fundraising goal of 200-300 million shekels. The Israeli real estate investment market includes several players, notably Archimedes, led by Eyal Lapidot and Tali Richman. Hochman joined Mizrahi Tefahot from Sky Fund and served as the first CEO of Mizrahi Tefahot Invest, the bank’s investment arm founded by CEO Moshe Lari. During their tenure at the bank, Hochman and Levy managed real estate transactions worth hundreds of millions of shekels, including investments in Reuben Ella’s public real estate company, Sachy Abu’s rental housing REIT, and several urban renewal firms such as Radco, as well as real estate funds like Reality and Timura. Hochman was replaced by Shmirit Kanig after five years in the role.
