Tiberias building contractor Zohar Oved has signed a contract for the construction of a 109-apartment project on Kibbutz Beit Rimon land in the lower Galilee, using a new system.
The kibbutz is to put the land at the disposal of the contractor, without receiving any financial consideration for it. Oved is to invest $14 million in construction, including infrastructures. Sales have not yet started.
The transaction was approved by the Israel Lands Administration, which will charge each resident $5,000-10,000 for a 350-500 sq.m. plot. In this way each buyer will pay $40,000-$50,000 development expenses. The cottages will be 100-220 sq.m., with prices ranging from $140-$280,000.
The kibbutz initiated this exceptional deal, in order to increase its number of residents. Only 30 families currently live on the religious settlement. Each buyer will be subject to approval by a reception committee. He will pay the kibbutz for water, electricity and educational services, but will not become a kibbutz member. A local union will be founded, of which all residents and kibbutz members will be members.
Published by Israel's Business Arena September 27, 1998