The deal is estimated at $70 - $80 million. Contacts have started with Kakshouri and Hayot.
The house committees representing the residents of ninety apartments at numbers 5,7,9,11, and 13 Recanati Street, Ramat Aviv, have given real estate agent and business man Roni Maneh, power-of-attorney to arrange the first Tel-Aviv ‘vacate and build’ deal. The plan calls for the razing of the five existing four storey buildings built over twenty years ago, and the construction in their place of three 17 storey towers comprising 204 apartments. All the residents will receive an improved apartment in the new towers, and the balance of the apartments will be sold on the open market.
This will be the first ‘vacate and build’ deal of its type in Tel-Aviv, and is equivalent to a 44% percentage deal. Nearly all previous deals of this type have been on Israel Lands Authority land. This project’s total sales value is estimated at $70 - $80 million.
The power-of-attorney enables Maneh to negotiate with the municipality for planning permission specifically for this project, as well as to negotiate with the building contractor. The request for new planning permission to build high rise buildings is based on the fact that construction of similar buildings on the other side of the road, opposite this site, has already been approved by the municipality. Maneh has already started contacts with building contractors Aharon Hayot and Yeshayahu Kakshouri, on their proposals to build the project.
Published by Israel's Business Arena March 29, 1998