Tender for Jerusalem rentals issued

Jerusalem homes for rent Photo: 3D design
Jerusalem homes for rent Photo: 3D design

The tender includes possible construction of 338 long-term rental housing units and 112 apartments for sale.

Apartment for Rent - The Governmental Company for Housing and Rental, together with the Israel Land Authority (ILA) and the Jerusalem municipality, today published a new rental housing tender for the Hadassah site in the Jerusalem neighborhood of Kiryat Yovel.

Bids are being solicited from developers and contractors for construction, operation, and management of the project for 20 years. In contrast to other rental housing tenders, this tender includes both rental apartments and apartments that the tender winners can sell on the open market. The deadline for submitting bids in the tender is March 27, 2017.

The tender includes possible construction of 338 long-term rental housing units, which the winner is barred from selling for 20 years. At the same time, the winner can build 112 more housing units and sell them to the general public at market prices.

The tender involves a site located between Henrietta Szold, Yaacov Tehon, and Chile Streets near the Gan Hamifletset (Rabinovitz) amusement park. Architect Yigal Levy designed the plan, which includes the possible construction of four 18-storey buildings with a total of 450 apartments.

Apartment for Rent today stated that the decision to include apartments that the winner can sell on the open market in the project was taken due to "the wish to allow a range of developers to compete for implementing the project, and in order to attain a low price for the renters." The apartments in one of the four buildings will be slated for sale, while the other three buildings will be solely for rent. The plan also includes commercial and business space, as well as a combination of underground parking and kindergartens. The commercial and business space can be sold by winner as soon as the apartments are occupied.

Like all the Apartment for Rent tenders, 85 of the apartments in this tender (25%) will be set aside for those classified as eligible by the Ministry of Construction and Housing. Rent in these apartments will be controlled at 20% below the market price.

"Our goal is to make the projects attractive to developers in order to have a significant impact on the rental market in favor of the renters," Apartment for Rent CEO Uzi Levy said. "This is the largest and most complicated project marketed by ILA and the company in long-term rental housing. Together with ILA, the company will soon publish additional tenders in high-demand areas."

Published by Globes [online], Israel business news - www.globes-online.com - on December 28, 2016

© Copyright of Globes Publisher Itonut (1983) Ltd. 2016

Jerusalem homes for rent Photo: 3D design
Jerusalem homes for rent Photo: 3D design
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