Both high tech structures and luxury apartments are being put up for sale.
The “Yediot Ahronot” daily reports that the security situation in Israel and fears of a US recession have led many foreign investors to realize their real estate assets in Israel, according to figures provided by the Israel Association of Real Estate Brokers (MALDAN). The data indicate that the selling trend is particularly pronounced in high tech structures, due to forecasts of a decline in rent yields.
MALDAN also said that a similar trend exists in luxury apartments. Many foreign residents holding a second apartment in Israel are offering these apartments for sale. Reshef Properties deputy general manager Gal Drori claimed, “The trend is gathering momentum in Kfar Shmaryahu, Herzliya Pituah, and northern Tel Aviv.”
Netanya contractors Shaked Netanel reported that many foreign investors had applied to have their apartments put back on the market. On the other hand, a purchase transaction was closed yesterday, against the general trend. A Haredi (ultra-Orthodox) Jewish London resident bought eight five-room apartments for his family in the Kiryat Moshe project in Bnei Brak for $2.15 million.
MALDAN recently sent a memorandum to the Gal-Yam committee for real estate tax relief, demanding the cancellation of the Ministry of Finance’s discrimination against foreign residents.
Published by Israel's Business Arena on January 22, 2001