Hagag Group wins Tel Aviv Bavli lots

Yitzhak and Eido Hagag Photo: Yossi Cohen

Hagag is confident that the building rights for a 37-floor residential tower will be substantially increased.

Hagag Group Real Estate Development Ltd. (TASE: HGG), controlled by Tsahi and Ido Hagag, has notified the Tel Aviv Stock Exchange (TASE), that it has won an auction issued by the Tel Aviv Municipality for 75.95% of the 5A and 5B lots, covering 1.65 acres in the Bavli quarter of Tel Aviv. Hagag beat three other contenders with a bid of NIS 187.9 million.

The other 24.05% of the lots belong to a range of owners and Hagag will be required to either reach agreements with the other owners in order to move forward with construction on the site or file for the liquidation of a partnership and the purchase of the rest of the plot from its other owners.

According to the municipal masterplan, the owners of the 5A and 5B plots have rights to build a 37-floor residential tower with 114 housing units. Hagag says it is confident that it will be able to substantially increase the building rights, as part of the Tel Aviv's 5000/TA plan.

The Tel Aviv Municipality has yet to confirm that Hagag has been awarded the auction.

Published by Globes, Israel business news - en.globes.co.il - on February 15, 2021

© Copyright of Globes Publisher Itonut (1983) Ltd. 2021

Yitzhak and Eido Hagag Photo: Yossi Cohen
Yitzhak and Eido Hagag Photo: Yossi Cohen
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