The Knesset has voted against a plan to turn the Froumine House on King George St. in downtown Jerusalem into a 16-storey residential high-rise. The Kneset today passed on its first reading a bill to establish museum on the site, while preserving the Froumine House, which was the site of the Knesset for sixteen years.
Knesset members Nissan Slomiansky (National Religious Party), Ilan Shalgi (Shinui), Ran Cohen (Yahad), and Yuri Shtern (Ihud Leumi) sponsored the bill in order to forestall a plan promoted by developer Ilan Rejwan to construct a 16-storey residential building or hotel. Rejwan bought the site from the state four years ago for NIS 12 million.
It is believed that Rejwan will ask $10 million for the lot, including loss of future income.
Jerusalem municipality sources said that passing the bill on its first reading was not enough to foil the plan, given the lack of money for repurchasing the land and preserving the site. The sources estimated that this would cost $30 million.
The municipality sharply criticized the Knesset for making the state appear ridiculous to developers, who buy land from the state, after which the state regrets its acts.
The Knesset welcomed the bill. Shalgi said that it was unacceptable for a site that symbolized the heritage of Israeli democracy to fall victim to real estate developers. He added that the bill would save the site from a mistake made by Jerusalem officials and finaglers.
The Society for the Preservation of Historical Sites also welcomed the Knesset vote, noting that the property had historic national importance. The society also said that the Knesset had restored proper respect for the site by making it into Israel’s legislative museum.
Published by Globes [online], Israel business news - www.globes.co.il - on January 9, 2005