The Tel Aviv Magistrates Court ruled today that Africa Israel was the winner of the auction for purchase of a lot in the Summayl district of Tel Aviv, for NIS 420 million. The lot is zoned for construction of 174 housing units in a 40-floor residential tower.
The 11.25-acre Summayl district is located on Givat Kurkar on the corner of Arlosorov Street and Ibn Gvirol Street. It is divided into two sub-districts. 600 housing units and 10,000 square meters of commercial space will be built on the southern part, which is owned by Africa Israel and a group of private landowners. 174 housing units in two towers are planned on the northern part. One of these towers is currently being built by the Hagag group. Today's approval of the sale of the lot to Africa Israel makes possible construction of the second tower.
The area on which the second tower is to be built was owned by Africa Israel, Hagag group, and a number of private landowners. After the parties failed to reach agreement on a division of the rights between them, the Magistrates Court ruled in April 2019 that an auction would be held for the lot, which would be sold to the highest bidder.
The petition for liquidation of joint ownership was led by the Shoob & Co. law firm. Africa Israel and Hagag, each of which had agreements with some of the other landowners, competed in the auction. Land appraiser Betzalel Katzir estimated the value at NIS 360 million, and if the Sheves-Kahlon concessions is accepted, at NIS 380 million. Africa Israel, the auction winner, was given 21 days to reach agreements with the other holders of rights.
The Summayl area is named after the village that was in the area until the Israel War of Independence. In 2006, an urban building plan for the area was deposited (plan no. 2988), which zones the land for residential and commercial construction.
Published by Globes, Israel business news - en.globes.co.il - on January 27, 2020
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