The Labor party and its leaders are liable to find they have broken the law, after the party rents 800-1,000 sq.m. at Ashdar House at 55 Yigal Alon Street in Tel Aviv. This warning was made by Adv. Ron Niv in a letter sent early last week to the party’s treasurer. Adv. Niv sent the letter following a "Globes" report of an impending deal.
Adv. Niv stated in the letter that the town building scheme permits the construction of industrial buildings only on the plot in question, not offices. The Tel Aviv municipality initiated a new TBS that would permit construction of offices, but this has not yet been approved. The Labor party and its leaders could therefore find themselves in contravention of the law if they use the building as offices. The building is situated on land owned by the municipality, leased until 2010.
Adv. Niv further stated, "I represent the Pnina Ayalon project on Yigal Alon Street, against which the municipality initiated criminal proceedings for construction not in compliance with the town building scheme. The municipality is acting unfairly, since it did not take any steps against other adjacent office buildings in a similar position, including Ashdar House. Ashdar House is the spearhead of our public struggle against the municipality, and is likely to receive media exposure which the Labor party could do without."
No response was received from the Tel Aviv municipality by the time of web-posting. Adv. Niv also complained to the municipality’s legal advisor, Adv. Sheri Oren, about the measures being taken against Pninat Ayalon, while at the same time nothing was being done against other developers in similar positions, including Ashdar House. In response, Adv. Oren said the matter was under examination.
Published by Israel's Business Arena July 18, 1999