Expanded Protected Rooms Transform Israel's Real Estate Market
Amendment 163 allows expanding residential protected rooms to 15 square meters with bathrooms, reshaping Israel's real estate market amid rising security demands and planning challenges.
About a year and a half has passed since the approval of Amendment 163 to the Planning and Building Law, which allows expanding the protected residential space (Mamad) to 15 square meters and incorporating a bathroom or kitchenette. The effects are already being clearly felt on the ground, though developers face rigid engineering constraints and significant planning delays in advanced licensing stages.
Finance Ministry data reveals that 67% of apartments sold in August in the second-hand market included a protected space, the highest figure in two years. Conversely, according to the Contractors Association, about 55% of apartments in Israel still lack individual fortification, making safety considerations a decisive factor in purchasing decisions.
Architect Yoav Michael, a senior partner at Yashar Architects, notes that the amendment prompted a redesign of almost all projects on their drafting tables. However, technical complexities in high-rises often require complex plumbing and air conditioning solutions, sometimes limiting expansions to only a portion of the units in a building.
Despite architectural hurdles, developers see significant economic potential. In high-demand areas like Tel Aviv, where prices per square meter range between 50,000 and 100,000 shekels, adding three to six square meters substantially boosts project profitability and marketing value.
Real estate appraiser Oshri Aharoni estimates that the value added by an expanded protected room can reach up to 5% of the apartment's total value. While buyers are still gradually acquainting themselves with the new standard, experts predict it will become a baseline requirement in large apartments within the coming years.
