4 cos win tenders for Dead Sea hotels

New Dead Sea hotel / Photo: Moshe Safdie architects , ira prohorov
New Dead Sea hotel / Photo: Moshe Safdie architects , ira prohorov

The number of hotel rooms at the Dead Sea will rise from 4,000 to 5,000 with some of the hotels built on land extending into the sea.

Israel Land Authority (ILA) and the Ministry of Tourism announced today the winners in two tenders for building hotels at the Dead Sea: Africa Israel, Fattal Hotels, Elad Hotels, and Barclays Israel. The projects will increase the number of hotel rooms at the Dead Sea from 4,000 to 5,000, following a period of stagnation in construction in the area. The Dead Sea is one of Israel's leading tourist sites.

The final price in the tender is over NIS 55.5 million. The tender rules require the winners to complete construction within six years. Some of the new construction will be in a new tourism area located between Ein Bokek and Hamei Zohar.

Africa Israel won the only lot marketed in the Hamei Zohar area. The hotel is planned to have 220 rooms, for 20 of which an environmental incentive is to be provided. The final price for the lot was NIS 17.7 million. Another lot zoned for hotel construction was won by the Fattal chain. This hotel, which will be built on the beach in the new development area between Ein Bokek and Hamei Zohar, will have 198 rooms, for 18 of which an environmental incentive is to be provided. Fattal will pay ILA NIS 12.4 million for the lot. The plan also includes construction of a hotel on two pieces of land extending into the Dead Sea that are zoned for hotel construction.

Another tender in the new development area was won by Elad Hotels. One lot won by the chain, also located on the beach, will have 253 rooms, for 23 of which an environmental incentive is to be provided. The price paid for this lot was NIS 19.2 million. The second lot won by Elad Hotels is zoned for construction of a hotel within the Dead Sea itself. The site will have 330 rooms, for 30 of which an environmental incentive an environmental incentive is to be provided. The lot was also marketed for a spa center, also to be constructed within the Dead Sea.

Two other areas are part of the hotel marketing plan: one zoned for commerce and the other for a regional conference center. Barclays Israel, which holds the Dead Sea Mall, won the tender for the new commercial center, which will have 26,600 square meters of space, with an NIS 8.6 million bid. It will be constructed in the new development area. Elad Hotels will build the new conference center, which will have 11,500 square meters of space, and will pay NIS 3.1 million for the lot.

Hotels at the Dead Sea have a 72% occupancy rate, following a decline in previous years. The majority of tourists visiting the Dead Sea are Israelis, with a minority of foreign tourists.

Published by Globes, Israel business news - en.globes.co.il - on December 17, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2019

New Dead Sea hotel / Photo: Moshe Safdie architects , ira prohorov
New Dead Sea hotel / Photo: Moshe Safdie architects , ira prohorov
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