Economy

Tzachi Hagag navigates the real estate slowdown by targeting foreign luxury buyers and expanding into affordable international markets like Romania and Azerbaijan.

Israeli entrepreneur Manie Banisch, founder of Georgia's Archi, is developing the Trump Tower Tbilisi as part of a $2 billion mega-project, aiming to redefine the capital's luxury real estate market.

Contradictory real estate data from the CBS and Finance Ministry reveal a 9% rise in contractor sales driven by subsidies, contrasted by a severe slump in Beer-Sheva and a 29% surge in Haifa.

The Israeli real estate market faces political turmoil at the Israel Land Authority alongside a surprising 20% surge in apartment sales, high mortgage burdens, and rising prices in select urban neighborhoods.

Israel's housing market saw a slowdown in July with 7,600 apartments sold, down 13.7% from June. Despite the monthly drop, three-month figures from May to July show a 20.8% rise, though contractor inventories remain high.

Engineer Israel David has been elected as the new chairman of the Association of Engineers for Construction and Infrastructure, succeeding Yigal Govrin. David brings over four decades of experience to lead upcoming industry challenges.

Gabay Group is advancing three major urban renewal projects across northeast Tel Aviv, including Neve Sharet, Neot Afeka, and Hadar Yosef, delivering hundreds of modern apartments.

Housing prices in Giv'ataim hover around 41,000 to 44,000 NIS per square meter as ICR launches the 32-story JASMIN luxury tower project.

Three Netanya families sued developers for 971,023 NIS over construction defects in homes delivered in 2016, but were awarded just 65,210 NIS plus legal fees.

The National Planning Appeals Subcommittee unanimously rejected Bat Yam's appeal against the Shaar Yoseftal project, approving a revised plan that adds 249 apartments while reducing commercial space to ensure economic feasibility amid rising market costs.

The European Commission proposed a unified framework allowing local authorities to restrict short-term rentals via platforms like Airbnb to combat the worsening housing crisis.

Oranim al ha-Yam completed its first bond offering on the Tel Aviv Stock Exchange, raising 600 million NIS. The funds will refinance bank debt as its luxury assisted living project in Rishon LeZion enters the occupancy phase.

Aura Group has launched the Aura Square urban renewal project at 48-52 Weizmann Street in Yehud-Monoson, replacing 76 old apartments with 300 modern units across five buildings.

Matslawi Building Company was chosen by rights holders to execute an urban renewal project at 27-29 Ussishkin Street in Ramat Hasharon. The project will replace 24 apartments with 68 units, generating estimated revenues of 196 million shekels.

Real estate experts at the Globes and Bank Leumi conference emphasize that comprehensive legal and zoning due diligence is vital before signing contracts to prevent costly surprises and operational risks.

The first urban renewal project in Tira and the Arab sector heads to VATMAL for deposit, featuring 250 new apartments on municipal land where a housing venture failed decades ago.

Shibolet Group and Kibbutz Mefalsim inaugurated the Gaza Envelope's first post-October 7 private industrial park. Backed by Bank Leumi financing and reaching 100% occupancy, the 13,500-square-meter project marks a major Zionist and economic milestone.

Amram Avraham is entering urban renewal in Mazkeret Batya for the first time, partnering on two Sderot Eliyahu projects to demolish 216 old units and build 781 new ones.

Bank Jerusalem has introduced the Construction Inputs deposit, allowing private clients to link apartment savings to the residential construction index to mitigate future payment risks.

The Jerusalem District Court upheld a community service sentence and heavy fines for the director of a Beit Shemesh educational association over a decade-long violation of a demolition order and illegal construction.

An IDF reservist faces a 300,000 NIS lawsuit after terminating his Givat Shmuel shop lease via WhatsApp instead of registered mail, triggering an automatic five-year renewal clause.

The Israel Land Authority completed two major tenders: Reality Fund secured residential land in Herzliya for 42 million NIS, while Rekhes Real Estate acquired industrial land in Kiryat Gat for 53 million NIS.

A government team led by Yehuda Morgenstern recommends building a new ultra-Orthodox city named Plugot west of Kiryat Gat. The city will feature 45,000 housing units for 225,000 residents, prioritizing it over other planned southern towns.

A study by the Alrov Institute shows the average monthly mortgage payment in Israel fell 4.8% annually to 10,864 NIS, with massive disparities between Tel Aviv and Be'er Sheva.

Average monthly rent in Israel crossed 5,000 NIS in the first half of 2026, rising 3.1% to 5,069 NIS. While Tel Aviv remains the most expensive city, outer-circle areas like Beit Shemesh saw the sharpest increases, jumping 9.9%.

CBS data for the first half of 2026 reveals a sharp real estate surge in Judea and Samaria, with 534 new homes sold in six months, surpassing the 453 homes sold in all of 2025.

Netivot accounts for 43% of all real estate transaction cancellations in southern Israel, far exceeding its market share. The Ministry of Finance reports a high regional cancellation rate of 7%.

Ari Real Estate CEO Tzachi Abu discussed his investment strategy, the canceled G City acquisition, and opportunities in rental housing and energy at the Globes and Bank Leumi Israel Real Estate Conference.

At the Globes and Bank Leumi Real Estate Conference, industry leaders warned that state land policies, severe labor shortages, and high financing costs are driving up home prices despite a market slowdown.

FBC Chairman Amir Chen highlights a surge in Tel Aviv office demand driven by AI and defense-tech, while comparing the rapid rise of data centers to Israel's historic avocado boom.

Eden CEO Yehuda Saban presented the massive infrastructure and business district revolution at the entrance to Jerusalem, highlighting a new 40-story mega-project, tax benefits, and unprecedented transit connectivity.

Rothstein Real Estate has secured official approval for its Pinui-Binui urban renewal project on Berl Locker Street in Jerusalem, planning 237 new apartments with projected revenues of 438 million NIS.

A 104-square-meter apartment on Tel Aviv's Abarbanel Street has sold for a record 13.5 million NIS. The price of nearly 130,000 NIS per square meter is driven by the premium Neve Tzedek location.

The Mami consumer club, founded by Maayan Adam, sold out an entire building in Greece's HORIZA LOUTRAKI project. Beachfront apartments were offered to members starting at €99,000.

Miami's metro GDP grew 23% as billionaires like Jeff Bezos and Donald Trump relocated to Florida. However, a 40% spike in the cost of living displaced 10,000 local residents over the past year.

The Israeli government approved fast-track urban renewal for two complexes in Bat Yam damaged by a rocket strike on May 15, 2025. The project, led by Bezalel Smotrich, covers 24 buildings and over 420 homes.

Housing affordability in Israel worsened in Q2 2026 as the average monthly mortgage payment rose to 10,864 NIS and the required equity increased by 30,000 NIS to 1.38 million NIS.

US banks have initiated foreclosure proceedings on three Indiana properties worth $28 million owned by Israeli real estate firm VALORE. The crisis stems from high US interest rates and a 30% drop in property values.

Freshkovsky delays publishing results of its 400-apartment tender despite a 15 million NIS campaign. Experts highlight a record 84,000 unsold homes in Israel, questioning the viability of developer marketing gimmicks.

Israel has launched a soil decontamination pilot to treat carcinogenic PFAS pollution. The results will determine the construction pace of thousands of homes at Sde Dov, where contaminated soil is estimated at 200,000 tons.