Haifa Subsidized Apartments Offered at 2020 Base Prices in New Lottery
Forty-one subsidized apartments in southern Haifa are being offered in follow-up lotteries at February 2020 base prices. Over 33,000 households registered for the units, which faced years of delays before developer Shtit took over the project.
Forty-one subsidized apartments in southern Haifa are returning to the market in follow-up lotteries utilizing base prices established back in February 2020. The units, part of the Nof Yam project developed by Shtit, have drawn massive public interest with tens of thousands of households registering for the chance to purchase discounted housing.
The current offerings are split into two separate lotteries featuring 38 and three apartments, respectively. According to the Ministry of Construction and Housing, more than 17,000 households registered for the larger lottery, while over 16,000 applied for the smaller one, resulting in intense competition of hundreds to thousands of applicants per unit. Registration for the program concluded on Sunday.
Origins and Developer Transition
The pricing originates from a February 2020 tender won by the Hanan Mor Group for two compounds in Haifa under the state's affordable housing framework. The commitment guaranteed base prices of approximately 8,000 shekels per square meter for plots 224 and 225, and 8,144 shekels per square meter for plots 226 and 227. Following financial difficulties encountered by Hanan Mor, real estate firm Shtit acquired the land in early 2024 for 175 million shekels.
The Nof Yam project is situated in the southern expansion area of Neot Peres, near the Matam high-tech park and Sammy Ofer Stadium. Spanning 24 buildings, the development encompasses 839 apartments blending subsidized units with free-market housing.
Pricing and Market Comparison
While the base prices trace back to 2020, final costs vary due to value-added tax, construction input price index linkage, and calculations for auxiliary spaces such as balconies and storage rooms. Data from the Ministry of Housing shows that Lottery 2760 features remaining three-room apartments starting at 842,000 shekels. By comparison, data from the CBS indicates that the average price for 2.5 to 3-room apartments sold in Haifa stood at approximately 1.31 million shekels.
The project has faced years of regulatory delays stemming from infrastructure disputes between the Haifa Municipality and state authorities. Contract terms set the delivery date for December 2029—nearly a decade after the initial tender win. Payment structures dictate that the first 20% of the apartment price remains unindexed, while subsequent payments feature linkage on 40% of the total sum according to the building input index. The lotteries are open to eligible housing upgraders, who must sell their existing properties within 12 months of taking occupancy.
