The High Court of Justice's temporary restraining order suspending the application of three resolutions by the Israel Land Administration will not apply when the ILA has already signed a contract with the landowners.
The High Court of Justice's temporary restraining order suspending land rezoning by the Israel Land Administration (ILA) may torpedo four land deals for the construction of thousands of apartments on kibbutz and moshav land. A preliminary study by Africa-Israel Investments's management today found that the company’s joint projects with Ashdar, Gad Zeevi, and Shikun Ovdim could be affected, but that other major projects already approved by the ILA would not be affected.
As reported in "Globes", the High Court of Justice (HCJ) yesterday issued a temporary restraining order suspending application of Resolutions 717, 727, and 737 of the ILA until it renders a decision on the petitions filed in the matter, or until another ruling by the court. The temporary injunction will take effect in three months. The injunction will not apply to transactions specified in the Milgrom committee report's transition instructions.
The Milgrom committee report states that the injunction would not apply to cases relating to Resolution 727, according to which the ILA approved rezoning requests and signed contracts with the landowners. Interested parties will be required to obtain authorization by municipal and regional building and planning boards before carrying out building affected by the three resolutions .
An Africa-Israel source told "Globes" today that the HCJ decision would halt at least four of the company's major transactions that do not meet the Milgrom committee's conditions:
- A joint project with Ashdar to build 1,300 apartments on land belonging to Kfar Maas, near Petah Tikva. The ILA and the municipal building and planning board have not yet approved the plan.
- A joint project with Gad Zeevi to build 1,600 apartments in Kfar Bialik, near Haifa. The necessary permits for this project have also not been obtained.
- A joint project with Shikun Ovdim and Eshel Hayarden to build 1,300 apartments on land belonging to kibbutzim Ein Hamifratz and Shomrat, near Acre. In this case, too, the necessary permits have not been obtained.
- A large residential project on land belonging to moshav Gimzo, near Modi'in. Africa-Israel has no partners in this project. The plan has not been finalized, and the company has not decided how many residences will be built there. Some of the area may be used to house offices and other businesses. The ILA has approved the plan, but there is no approved municipal building plan, so it too does not meet the criteria set by the HJC.
Africa-Israel can build 1,000 apartments on land belonging to kibbutz Netzer Sereni, near Rehovot, because the plan has been approved by both the ILA and the Regional Planning and Building Board.
Published by Israel's Business Arena on 20 August 2001