Old house in Herzliya sold for half the price of a new one
The house, in the Neve Amal neighborhood, was built in the fifties and sold for 3.8 million shekels. Prices for new cottages in the neighborhood range between 6 and 7 million shekels.
The deal: On David Remez Street in the Neve Amal neighborhood of Herzliya, an old semi-detached house with 4 rooms and a built-up area of 94 sq. m was sold for 3.8 million shekels.
Neve Amal: Historical context
The Neve Amal neighborhood in Herzliya has existed since the founding of the state. The master plan upon which the neighborhood was established was approved in 1951 and was based on the district plan from the Mandate era. In those days, Neve Amal was not included in the territory of Herzliya, and in the plan, it was referred to as the "housing project between Ra'anana and Herzliya."
The plan at the time defined building rights as "15% or 150 sq. m, whichever is less." Since most lots for private homes were about one dunam for a semi-detached structure, this meant a building restriction of 150 sq. m in total or 75 sq. m for each housing unit. Indeed, most buildings in the neighborhood still follow this original format, despite various expansions carried out over the years.
In 2015, a renewal plan was approved, significantly increasing building rights to 70% of the lot size—allowing for two floors and a tiled roof above a basement. Property owners were also granted the option to divide their lots, adding a new unit of about 180 sq. m.
Market shifts
The neighborhood is currently undergoing a transformation as original residents or their heirs sell old buildings to wealthy buyers who demolish them to erect luxurious cottages. Prices for new cottages range between 6 and 7 million shekels, roughly double the price of the older homes.
The property in question was originally built by the Shikun Ovdim company in 1951 as two 41 sq. m units. Between the late 50s and mid-70s, the owners expanded it to its current 94 sq. m. The 1.08-dunam plot was split into two 270 sq. m lots, which were sold two years ago for 6.4 million shekels.
Expert analysis
"The deal price is accurate—it reflects the market value," says Tal Zano, a senior consultant at Anglo Saxon Herzliya. He estimates the land value at 20 Remez is around 3.4 million shekels, with the remainder paid for the existing structure.
Appraiser Israel Yaakov notes: "This is effectively a land deal. The existing house does not reflect efficient utilization. The relevant calculation is the equivalent built sq. m, which stands at about 10,900 shekels. Strikingly, the same lot sold for 3.2 million shekels in 2024 and is now at 3.8 million—a 19% increase in about two years."
The bottom line: Based on recent deals in the neighborhood, the price of the house appears to be in line with current market conditions.
