Two weeks after the Israel Land Authority published tenders for 7,100 homes in the Tel Aviv district of Sde Dov, three tenders were opened yesterday for bids by developers totaling 4,613 housing units. Two of the tenders are in the central part of Sde Dov and one of the tenders is in the north of the district.
The plans for the districts in the tenders were approved by the Tel Aviv-Yafo Local Planning and Building Committee a month and a half ago. The tenders will close at the start of November.
At the beginning of September the ILA published 10 tenders for 27 lots, meaning that there are still another seven tenders to be opened. Most of the tenders remaining to be opened are for special housing including long-term rentals and sheltered housing, although there are also lots for high density housing construction. The remaining seven tenders are expected to be opened in the coming weeks and will also be closed at the start of November.
According to marketing data from projects in the Eshkol plan in the southern part of Sde Dov, apartment prices per square meter are between NIS 70,000 and NIS 80,000 per square meter, meaning that a 100 square meter apartment costs between NIS 7 million and NIS 8 million.
The three tenders opened for bids yesterday were for 2,606 housing units in seven lots in the central section of Sde Dov, 1,737 housing units in ten lots in north Sde Dov and 270 housing units in the central section.
Adding up the minimum prices for all the lots in the three tenders, plus the development expenses that each winning developer must pay, totals NIS 2.5 billion - the minimum amount that is expected to enter the state coffers from these three tenders alone, provided that all the lots are successfully marketed. However, the revenue potential is obviously much higher.
Published by Globes, Israel business news - en.globes.co.il - on September 19, 2024.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2024.