Record Price in Jerusalem's "Mishkenot HaUma": 12.25 Million Shekels for a Duplex
A 185 sqm duplex-penthouse in Jerusalem's "Mishkenot HaUma" project has been sold for 12.25 million shekels. This transaction marks the highest price ever recorded in the complex.
The deal: On Abba Eban Street in the "Mishkenot HaUma" project in Jerusalem, a duplex-penthouse apartment with an area of 185 sqm was sold for 12.25 million shekels. The apartment features an 80 sqm balcony.
The project: The "Mishkenot HaUma" neighborhood is located near the government complex, the International Convention Center (Binyanei HaUma), the Central Bus Station, the Navon train station, Jaffa Road, and the Light Rail. The project is considered excellent for those seeking proximity to the city exit, government offices, and new employment towers. However, it is not close to the Old City and lacks a direct view of it—a parameter that significantly influences property values in Jerusalem.
"Mishkenot HaUma" is based on two main plans: the first (1993) planned the entire National Quarter, including the Knesset, government ministries, and the Supreme Court; the second (2003) focused on the northern part of the quarter, intended for hotels, offices, commerce, and housing.
In 2006, the Israel Land Authority held four tenders, considered the most prestigious in the city at the time. The Jerusalem-based company "B. Yair" won three of them, covering about 450 apartments, for 435 million shekels (excluding VAT and development costs). Over the years, the company became involved in economic and criminal proceedings, leading it to sell some of its rights in the project to other developers.
Prices in the project: While most apartments in the project are of high quality, they are not considered unique. Developers targeted a broad demographic, unlike the city's ultra-luxury projects aimed solely at foreign residents. Due to the quota for small apartments, the distance from the Old City, and the high density of the buildings, the project did not compete for the title of the capital's most prestigious development.
Nevertheless, prices in the project have risen from approximately 31,000 shekels per sqm in 2019 to an average of 42,000 shekels per sqm today, representing a 35% increase. 2-room apartments sell for around 2.6 million shekels, 3-room units for about 3.5 million, and 4-room units for 4 million shekels and above.
This deal is the highest recorded to date in the project. Coincidentally, an adjacent 222 sqm duplex was sold late last year for 12.07 million shekels. Despite the size difference, the prices are close enough to confirm that the transaction falls within the current market range.
The broker's word: Haim Medici from T.K.M. Real Estate Marketing and Management, who facilitated the deal, states that price levels in the project range between 39,000 and 43,000 shekels per sqm. He noted that the apartment was originally planned for Yair Biton, the former controlling shareholder of the developer "B. Yair," but was eventually sold on the open market.
"The owners initially wanted 14 million shekels, but I estimated its value at a maximum of 11.5 million. They agreed to a compromise, resulting in a good deal. The buyer, a foreign resident from Los Angeles, also secured a strong investment, as the apartment is unique within the project," Medici concludes.
