The Israel Land Administration (ILA) biannual report details serious problems in all aspects of the ILA's operations, especially in the marketing of land. ILA director Yaron Bibi says, "It is difficult to bridge the ILA's master targets - continuing the massive marketing and regular operations - at a time of rising demand for the ILA's services, which require the allocation of its resources (and possibly additional resources) and personnel, and moving forward on the reform, which creates uncertainty among employees and also requires the allocation of resources."
During the first half of 2011, the ILA marketed land for 8,447 housing units, 7% more than in the first half of 2010, and 80% more than the average in the corresponding periods in 2006-10. This figure does not include yesterday's announcement by Minister of Housing and Construction Ariel Atias for the marketing of land for 6,000 housing units. By the end of July, the ILA will be marketing land for 14,000 housing units, 58% of the government's annual target, set in 2009.
The 2009 cabinet decision sets marketing targets of land for 25,000 housing units a year in 2010-11, through tenders. Land for an additional 10,000 housing units will be marketed via exemptions from tenders (such as for the expansion of kibbutzim and moshavim). The ILA exceeded the government target for 2010, when it published tenders for land for 26,050 housing units. When land marketed via exemptions is added, the ILA marketed land for 34,253 housing units in 2010.
Most of the land was marketed late in the year, because of the recyclity in the handling of tenders, and actual construction will not begin for 2-3 years from the date of the win.
"If these two reforms succeed at the ILA and the planning commissions, I believe that the ILA will meet the marketing target for 2012, as well," said Bibi.
Published by Globes [online], Israel business news - www.globes-online.com - on July 19, 2011
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