Shmuel Olfiner of Rishon LeZion, one of Israel's biggest private contractors, is laying off six hundred and forty five of his two hundred and eighty workers, and suspending a large residential and commercial project in Ramat Hasharon. Olfiner told "Globes" he had already fired forty five workers, including chief engineer Gil Lazar, and will fire another one hundred and twenty in the next three months.
Olfiner also said he had decided to suspend a plan to build 130 apartments and 1,500 sq.m. of commercial space on Ussishkin Street, in the centre of Ramat Hasharon. He said the downsizing and the suspension of activity are due to the "situation in the sector". He plans, however, to increase his investments in Britain. Olfiner has invested more than $200 million, including financial coverage by a bank, in the purchase of four properties in Britain.
Olfiner will confine his construction activities to the new northern district of Tel Aviv. near the big bloc. He will shortly commence the construction and sale of 100 apartments in Stage 2 of the Einstein on the Sea project. The price per apartment will be $100,100. Olfiner purchased the lots years ago.
Construction of Stage 1 of the project is currently nearing completion, and 91 of the 92 apartments have been sold. Purchasers are presently taking possession of their apartments. In 1996, Labour party chairman Ehud Barak bought a four room apartment in the project for $427,000 (including VAT), in a deal publicly reported here for the first time.
Published by Israel's Business Arena November 8, 1998