Africa-Israel wins Jerusalem urban renewal projects

Kiryat Yovel, Jerusalem

The company has won urban renewal projects in Kiryat Yovel and Katamonim.

Africa Urban Renewal, a subsidiary of Africa-Israel Investments Ltd. (TASE:AFIL) subsidiary Africa-Israel Residences Ltd. (TASE:AFRE), has announced its victory in a Ministry of Construction and Housing urban renewal tender for the construction of 180 housing units on Bolivia Street in the Jerusalem neighborhood of Kiryat Yovel.

Under the tender, the company will demolish a multi-entrance building with 56 housing units constructed in the 1960s and build a 12-14-storey building with 180 new housing units, 124 of which are slated for marketing to the general public.

The Ministry of Housing and Construction is giving the company NIS 80,000 per every demolished housing unit - a total of NIS 4.5 million. The grant is according to stringent criteria for the ability to carry out the project on a relatively short timetable. Another goal is to reduce the project's density, since the grant indemnifies the company for constructing fewer housing units and therefore making a smaller profit. In this case, eight fewer housing units are being built.

Another Jerusalem urban renewal project recently won by Africa Urban Renewal in Jerusalem is for 104 housing units at 23-25 San Martin Street in the Katamonim neighborhood. The company has just now received combined initial approve for the project from the Local and Jerusalem District Planning and Building Commissions. The grant for this project is NIS 2.5 million, and the density of the project will be reduced by four housing units.

According to Africa Urban Renewal, the prices will be NIS 20,500 per sq.m. in Kiryat Yovel and NIS 19,000 per sq.m. on San Martin Street.

African Urban Renewal CEO Assaf Simon said, "This is part of the Jerusalem municipality and the Ministry of Construction and Housing's realization that the city needs urban renewal in order to retain young people and bring back people who have left it."

Moriah Jerusalem Development Urban Renewal Administration head Amit Poni added, "The initiative was presented to the steering team in Jerusalem, and was endorsed by the district professional and planning echelon. The company won a grant from the Ministry of Construction and Housing for reducing the project's density by 5-7%. The objective has not yet been obtained, but the plans are consistent with the master plan for the neighborhood, even though the company must submit plans and operate in conjunction with the Local and District Planning and Building Commissions."

Published by Globes [online], Israel Business News - www.globes-online.com - on February 6, 2017

© Copyright of Globes Publisher Itonut (1983) Ltd. 2017

Kiryat Yovel, Jerusalem
Kiryat Yovel, Jerusalem
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