Beit Shemesh Lottery Winners Petition Court Over Cancelled Subsidized Housing

Families who won subsidized housing in the "Keter HaRama" project in Ramat Beit Shemesh have filed a petition with the Jerusalem District Court, demanding clarity on their legal status and future after their wins were cancelled.

The case highlights the legal standing of lottery winners in government-subsidized programs such as "Mehir LeMeshtaken" who have not yet reached the apartment selection stage. The petition was filed by 184 families who won apartments in 2022 under an agreement between the Ministry of Construction and Housing, the Israel Land Authority (ILA), and the developer, Shapir (Shapir-Nativ).

Years of Waiting and Sudden Cancellation

The petitioners waited four years for their apartments, largely unaware of a deepening legal and financial dispute between the developer and the state. In April 2025, Shapir filed an 800 million shekel lawsuit against the housing ministry and the ILA, alleging breach of contract, while the state claimed the developer violated its commitments.

In December 2025, the ILA decided the developer had breached the agreement, leading to the cancellation of the development contract. However, the families were only informed of the cancellation in June 2026, following inquiries by their legal counsel, Adv. Emmanuel Yuzuk from the Yuzuk-Malkin & Co. law firm.

Demands for Timelines and Accountability

"The state continues to examine the project and alternatives for its advancement without providing any timeline or guarantees for the winners' rights." — Legal response from the Ministry of Construction and Housing

The petitioners are demanding that the court order the Ministry of Housing and the ILA to establish strict timelines, issue a reasoned decision regarding the project's future within 30 days, and formally preserve their status as lottery winners.