State Land Bank Israel today

Urban renewal is supposed to improve the quality of life, but sometimes becomes a nightmare for residents and entrepreneurs.

Dialogue with senior executives in the field

• Demolition and construction.

  Improving public space

  Photo: 

  envato elements

Produced by the Department of Special Supplements

Urban renewal in Israel can be summed up in one word: chaos.

Decisions that change news for the mornings, municipalities that expose Tefah and hide Tefahim, tenants who are afraid to commit in the shadow of the corona, companies that collapse due to unrealistic commitments and a dysfunctional government.

Against the background of the crisis, we convened the seniors of the renewal industry for the first comprehensive dialogue of its kind, in order to find solutions to a process that is supposed to improve our lives but sometimes becomes a nightmare.

"We did not go anywhere"

What are the main problems around urban renewal in the Corona crisis and how are they solved?

Haim Avitan,

Chairman of the Government Authority for Urban Renewal: "After a short period of preparation, the local and district committees have continued to work since the beginning of the crisis until today, so for us the wheels of urban renewal continue to move. The projects under construction continue, and we are constantly working for more and more projects. Will set off.

The VOTAL (Accelerated Construction Committee) is currently not operating, except for plans that a decision was made to deposit them before the law expires.

The resumption of its operation will restart many projects, some of which are already waiting on the committee's table and other projects that will be announced in the future. "

Sami Mazlawi

, chairman and owner of Mazlawi Construction Company: “The main problem is restricting traffic due to the obligation to social distance.

People have a hard time getting out of the house and having meetings, so they can’t hold tenants ’meetings.

"There are a lot of older tenants who can't be reached physically, so they are approached through the children, and that delays the process."

Moshe Koren

, Director of Urban Renewal at Azorim: "We are involved in large projects, and therefore the meetings with the apartment owners are multi-participant. The Ministry of Health's instructions prevented us from having frontal meetings with the apartment owners. The situation is causing a delay in advancing planning.

"We have learned to transfer personal communication to digital communication through zoom / other media, through which we hold meetings and sometimes even conferences of more than 100 participants. The activity in the field of urban renewal is highly sensitive, and in my opinion digital communication can not replace personal meetings. It is possible to explain, persuade and reduce concerns. "

Ran Malach

, CEO of Builders High School Urban Renewal: “Towards the end of the first quarter of the year we found ourselves in a closure with no ability to meet tenants.

Advanced urban renewal projects thanks to personal meetings and direct interaction, in which we answer questions and present plans.

At once it all stopped.

"The physical disconnect forced us to reach the tenants in other ways. We combined small-scale meetings, according to Ministry of Health guidelines, with the increasing use of cyberspace and technological means at our disposal. We held meetings in courtyards, with masks, social distance and hygiene, through conferences and hygiene. Zoom and individual and group online conversations. "

Omar Guggenheim

, director of Ashdar Boutique: "Urban renewal is first and foremost a social project. The human encounter has an essential part in promoting projects, receiving information and transmitting it. .

"Working with the authorities without receiving an orderly audience also makes the process very difficult. The Corona is here to stay for now, so we use technological and visual means to make the information accessible to potential tenants and buyers. We are constantly learning and evolving according to online options. ".

Meeting in Zoom.

Less small talk, more tachles // Photo: envato elements

Danny Moore

, CEO of Best Initiated from the Best Group: “The main challenges during the Corona period are reflected in the difficulty of holding frontal meetings, forced physical distance, the need to settle for zoom meetings without the ability to make continuous eye contact, and unexpected delays in professional discussions due to the expansion of isolation.

"Challenges can be successfully addressed by operating flexibility in creating wide convergence areas, adhering to purple character guidelines so that even those who are afraid can join with increasing confidence, and beyond zoom discussions and file and document sharing."

Yehuda wrote

, Chairman of the Contractors and Builders Association Tel Aviv and Central District, Vice President of the Builders of the Land Contractors Association: “The Corona crisis has brought with it significant challenges we are currently facing in the industry.

The main problem stems from the fact that communication with the regulator is very limited compared to the past.

Meetings using the zoom are not necessarily effective.

"The Corona has created a state of social disconnection. Fewer conferences, fewer meetings and certainly not regular face-to-face meetings, which in the past were significant means of communication in dialogue with the regulator and advancing processes. Planning, construction, etc. "

Harel Peretz

, director of the urban renewal division at the Gabay Group: "If until a year ago construction was considered a low-tech industry, there is no doubt that today everyone has become a technology expert.

We have all become experts in Zoom, TEAMS, Skype and any interactive online meeting option.

It seems that there is really no alternative to the human encounter, but until we can return to what was, if at all, it seems that we must get used to the new reality in which the majority operates in the online space. "

Nir Shmol

, CEO of the Society for Urban Development and Renewal: "The main difficulty is how to meet with tenants, many of whom are seniors and older, populations of seniors. Conduct conferences under health restrictions alongside the Organizers Act, to which we as organizers are subject.

"We hold weekly zoom sessions in each of the projects. The goal is to give the tenants a sense that we are here, that we did not go anywhere. We offered help to those tenants who needed conversation, a kind word and relief from loneliness. ".

Avi Bitan

, VP of Marketing ICR (formerly Minrav Projects): "The main problem is the ban on gatherings, which prevents conferences, such as a new signature conference, an update conference, a conference presentation program, raising a glass, or any other multi-participant activity. The challenges are not It's simple, so there are many participant zoom calls, updates are transmitted on WhatsApp, and even a planned toast is raised in capsules while meeting the conditions of the purple character. "

Preparations at Knesset

Tell us about your renewal during the Corona period?

Itai Smadar

, Rothstein's VP of Urban Renewal: "In our project, which is in advanced stages, we decided in accordance with the guidelines to hold individual conferences to explain and answer tenants' questions, as well as limited and scheduled conferences for signatures, to prevent gatherings.

"We paid special attention to the guidelines, and this required preparation at the level of operational Knesset. It was more complicated than organizing one conference with dozens of tenants."

Meir Baron

, Business Development Manager and Head of Urban Renewal at YH Damari: "I especially remember meeting an elderly tenant who was afraid to meet, but still wanted very much. Since he lives on the ground floor we suggested we be in the yard and he would talk to us from the window. "It was a long and exciting meeting, as the tenant was thirsty for company after a long period of isolation. Urban renewal is first and foremost a project of people. You get to know them, hear their personal story and a connection is made."

Amir Lotan

, director of the urban renewal department at the Meshulam Levinstein Group: "We had a number of zoom discussions, including a district committee and an appeal committee hearing with about 50 participants, a strange experience that was conducted properly. Fortunately, the discussions continue."

CPA

, CEO of Metropolis: "An eviction notice we sent to tenants at the beginning of the crisis, to prepare for the start of construction, was stopped almost immediately after it was sent. Due to the closure and uncertainty we decided to postpone the eviction, and only these days the eviction was completed and the building destroyed. ".

Ran Malach: "The closure caught the company in the middle of evacuating the occupants of the ONO ONE project in Kiryat Ono. The considerations were complex: on the one hand, there was basic uncertainty about what would happen within 3 days. On the other hand, stopping the move means sticking a stick in a wheel that has already started moving .

"Leaving the apartment and moving to a rented apartment under the guidelines is a complicated and worrying move, easy and material for the population at risk. Although the process was Sisyphean, we are happy that all tenants found temporary accommodation to their satisfaction and we could start the project according to the planned schedule."

Danny Moore: "A discussion in the Planning and Building Committee was zoomed in so that the committee members who convened in the plenary room wore masks, and at first it was difficult to identify the various speakers. The physical distance was well felt compared to a close professional discourse."

Sami Mazlawi: "We encountered people sleeping inside small houses, usually without a balcony or outdoor space. These tenants realized that the small apartments must be replaced with a new apartment with tidy air conditioning and no crumbling walls. It is hard for me to see and hear the experiences of the tenants asking us to help them."

Avi Bitan: "Routinely, a tenants 'conference is a simple event. It is held in a hall, with a projector, refreshments and a good mood. Today, during the Corona period, tenants' conferences should be held in rounds, while maintaining the conditions of the purple character and paying close attention to the elderly or existing audience "In a risk group. A toast-raising event, which was once held in the courtyard of the compound for an hour, becomes an entire operation that lasts several days in a row, in order to allow us to celebrate with everyone."

Moshe Koren: "The company continued its activities as usual, following the declaration of the construction industry as an essential industry. We continued to operate within the limits, maintain contact with tenants and the planning authorities and address any need that arose. Zoom conferences of dozens of participants, most of them in homes, and more than once we found the Ourselves in amusing situations (I will leave the details to your imagination) ".   

Less bureaucracy.

Authorities' guidelines were helpful // Photo: envato elements

Shmuel Chai Reuven

, CEO of the Manos Group: "I have recently rediscovered Israel's mutual guarantee.

In every project we accompany the crisis has made us connect more deeply and personally with the tenants, ensure their safety, take care of every detail that bothers them and give a sympathetic ear to every issue.

I believe the perception that puts the tenant at the center is correct.

I always believed that way and it has sharpened in me seven times over the last period. "

Nir Shmol: "We performed small signing events regarding contracts, under the limits of social distance. We hired many more lawyers who worked on the signings, over a longer number of days and in different locations. We had a large signing event in the project in Bat Yam, where the tenants chose a developer - Tidhar. "A good word to all the staff from Tidhar, who in cooperation with the company for urban development and renewal managed to sign contracts with more than 80% of the tenants within two weeks, under the limits of the Corona."

A technological world

What has changed in dealing with tenants, how do concerns calm down these days?

Eyal Handler

, Chairman of the Canaan Group: “Precisely during the Corona period in many complexes the tenants were much more attentive and goal-oriented to promote urban renewal projects.

The long sitting at home caused many of them to examine their living environment, which for many also became a work environment.

The long hours at home helped in understanding that they must improve the quality of housing.

At the same time, many have realized that the authorities are reducing compensation for tenants and the era of the TMA is coming to an end. They understand more the importance of environmental development and the parks under the house. "

Roni Mizrahi

, President of the Chamber of Contractors and Chairman of the Mizrahi Group: "In the days of the Corona, we had considerable success in persuading tenants, for the simple reason that the tenants began to fear that the decision to end the NPA by October 2022 also affected them.

We found ourselves in an interesting situation, where we reassure them and explain to them that the plan concerning them is still in force.

The unique situation of the days of the corona plague actually helped us in dealing with the tenants. "

Sima Maor, Director of Urban Renewal at Oron Real Estate: "We are very patient with their needs and make sure to be attentive to all their feelings.

"We explain that we believe that the corona crisis will pass, and the process must not be stopped, but on the contrary, believe in the good and move forward as much as possible for a better future."

Haim Avitan: "The municipal administrations continue to be in touch with the tenants, in a variety of creative ways. Most administrations continue to hold public receptions, and those who cannot do so according to the purple mark rules, physically come to the yards of building buildings to meet with the tenants. "Although it is the preferred one, the administrative staff assists by phone and zoom. In addition, public participation continues to exist in accordance with the digital outline we have built in the government authority." 

Advocate Adam Tsaswan

, Partner and Head of the Urban Renewal Department at Gindi Caspi & Co.: “Naturally, at first people were afraid to meet and even leave the house, and to give them service we moved to remote meetings with the help of technology.

We demonstrated creativity - conferences on the balconies, meetings in capsules and the use of the Zoom app.

It created more personal and intimate contact with the people, led to deep conversations, and actually created for us another channel of communication that brought to the table people who might not have come otherwise.

"Good things also happened because of the corona - there was a change among the apartment owners. When they were stuck in the house they realized the value of the house and its potential. They suddenly realized that the apartment is small, that it is old and not suitable for their needs. Many realized that the only way to upgrade. "It is only new in urban renewal. Many refusers began to cooperate, and those who sat on the fence began to get off it. The number of signatures of apartment owners has risen significantly."

Adv. Naama Schiff

, a partner in the firm Shuv & Co.: “During the closure, families living in small apartments without a balcony understood its importance as a place for ventilation, contact with the community and another space for daily conduct.

They also realized that the issue of urban renewal was the solution for them, and this led to the acceleration of projects.

"Families who previously refused or delayed entering the proceedings have since done so more easily."

Israel Yaakov

, real estate appraiser: "We accompany dozens of projects, some of them also as part of urban renewal. We see in the field that a company that operates transparently and updates the tenants in every progress is a company that the tenants trust, believe in and are calm in all day-to-day operations.

"There are companies that even during the closure did not forget to send the tenants an update. They broadcast that everything is under control. Precisely at such a time, when the lives of a large part of the public are out of control, companies have a very big responsibility to be transparent and show that everything is under control."

Itai Smadar: "We kept in close contact with the tenants, even more than before, to overcome the physical distance and emphasize that we continue as usual, despite the situation. The real estate market did not stop, on the contrary, galloped forward during this period.

Home is an irreplaceable product, and it has even sharpened even more during the Corona period.

We also met, according to the purple character guidelines, with elderly tenants who had difficulty and did not connect to the virtual encounter.

It was important to us that everyone received an answer and knew that we were in the same situation with them, and together we would also go through it and continue as planned. "

Ran Malach: "We mediated the tenants' reality through the eyes of the company. In order to simplify the process and make the content accessible to them, we prepared project kits and left them at the door. The kits included a copy of the contract, explanatory sheet, telephone inquiries and questions, project simulations and more."

Regulated policy

How are the municipalities doing during this period?

Avishai Kimeldroff

, Chief Architect of Shikun

: "The municipalities we work with have recently specialized in urban renewal. Municipalities understand the benefits of renewal and are working to formulate a clearer policy in terms of permutations for tenants, planning policies, required public benefits, shortening schedules and streamlining the process.

"Municipalities are working with us to conduct broad, professional and transparent public participation processes through the Urban Renewal Administrations and the Renewal Authority itself. We see more personal involvement of mayors and engineering teams in promoting and implementing plans, a fact that greatly helps both tenants and developers succeed together."

Haim Avitan: "In the past year, we have met with mayors, from north to south, in places with high potential for urban renewal and even less so, including in the Arab and ultra-Orthodox localities with unique characteristics. I am happy to see that there is exceptional support from mayors to promote urban renewal .

"Everyone understands that the growing shortage of available land reserves requires alternatives. Urban renewal is the desired alternative both to enable a safe and protected living environment for tenants, and to renew old town centers and neighborhoods. Most local authorities have long since returned to regular activities, all under existing constraints. In the matter of receiving an audience and holding public hearings. "

Amir Lotan: "The municipalities have mainly moved to zoom. Meetings are efficient, there are far fewer small talk, we approach getting involved. On the other hand, when you need the personal attitude, it is difficult to do it in zoom."

Itai Smadar: "Because there were areas that were stopped during the corona, some municipalities apparently saw this as an opportunity and accelerated various approval procedures. As the workload decreased, manpower and time became available. Unfortunately, some municipalities chose to close their doors, and for six months there was no response."

Moshe Koren: "Most municipalities have learned to conduct themselves remotely, and we hold quite a few professional meetings with professionals in digital communication. Sometimes it is even possible to have a physical meeting at the municipality. There are municipalities that understand the importance of urban renewal and act accordingly, but there are municipalities where procedures are more complicated.

"Fortunately, most of our projects are located in authorities that cooperate with the move. It is also one of our criteria as a company, before we choose to embark on such a move. It is a marathon run, and you want partners who will run alongside you, not those who will stop you."

Ran Malach: "We are in for a surprise: the time freed up from receiving crowds and meetings has contributed to the effective promotion of licensing and permit issuance processes. Things we previously waited for months, received a significant boost and accelerated the chain of approvals. We hope the authorities will think how to maintain momentum even after The Corona period, in order to accelerate, among other things, urban renewal. "

Udi Blum: "One of the deepest weaknesses of the world of urban renewal is dealing with the authorities. The Corona period is no different from any previous period, except for availability. Giving tenants a chance in urban renewal is an almost impossible task. In extremes it is like searching for gas in the North Sea. At any point and expect success.

"There is no regulated policy, and even when you follow approved policy documents that appear on the municipal authority's website you end up with a clerk telling you it's not valid. Some authorities do not comply with Standard 21, so the uncertainty in project promotion is huge. This is more convenient in local authority committees. As an independent committee, and there is no need to go through the district committee either. "

Advocate Adam Tsaswan: “There were authorities that we felt the Corona had shut down almost completely, and there was a significant slowdown in the service they provided.

There were those who adapted to the situation, worked from home, used technology and this was actually excellent and allowed for continued normal work.

It all took time and at first meetings and discussions were canceled, but after a while the authorities also adapted to the new reality.

It turned out that sometimes there is no reason to require frontal meetings, and on the other hand there are situations where only a frontal meeting will do the job.

Not every discussion is possible and worthy of a zoom. "

The future of the NPA

Is NAP 38/1 (additional floors on top of the existing one) still relevant, and what alternative plan should be promoted in its place, after it ends in October 2022?

Avishai Kimeldroff: "In my opinion, TMA 38 will not disappear, but will renew its face in the direction of complex projects.

Refers to a plot or a number of plots on which demolition and construction will be carried out in accordance with TMA rights, together with public benefits such as widening of a road, sidewalk, bicycle path and a combination of public pleasures and public areas built on the ground or underground.

"It will be possible to combine special housing, such as affordable housing. In fact, it is an optimal balance between the need to strengthen the buildings and renew them for the public interest in obtaining open spaces and combining public buildings and affordable housing, without the need for a long and arduous master plan."

These complexes will be based on policy documents for the regenerating neighborhood, which will characterize the needs of the public and the nature of the construction. "

Haim Avitan: "TMA 38 in its various forms will continue to be relevant, because sometimes there are no better solutions for the individual building.

We push for the promotion of large projects, involving a number of buildings, preferably through demolition and construction, whose significant contribution is the treatment of public space.

"However, we understand that the NPA is with us for certain reasons, and therefore will remain so.

We are currently working with the Planning Administration and relevant bodies to advance the legislation on the subject.

We support a plan recently presented by the Planning Administration based on the decision of the National Planning and Building Council.

We will make our comments soon and work for progress in legislation. "

Sami Mazlawi: "In my opinion, it is a pity that this plan was born at all, because it is only suitable for specific places. The plan that should take its place is TMA 38/2, for one 2-3 buildings to one tall building."

Yehuda wrote: "TMA 38/1 is still relevant.

There are very old residential buildings in Israel that need strengthening urgently, and this is one way to strengthen them and prevent personal injury.

In some cities TMA 38/1 will be preferable to leaving the dangerous situation as it is.

"Beyond that, there are buildings that due to their location or proximity to other buildings, TMA 38/1 would be the most suitable option for them.

In the past, incidents have occurred that posed a real danger to tenants living in the building during the construction period.

The main problem stems from the fact that when carrying out the TMA 38/1 project, most of the building's occupants continue to live in it, even though the building is a de facto construction site. Due to the danger inherent in tenants staying in houses of this type of project, I believe more and more TMA 38 / projects 2, Demolition and reconstruction and evacuation-construction of complexes, are the ones that should be promoted.

"It is important to understand that TMA 38/1 projects beyond the safety hazards are problematic because it is an attempt to turn an old building into a new building, and it does not always succeed.

We have no certainty that a building that passed TMA 38/1 will really withstand situations of earthquakes and rocket and rocket fire. Experts claim that they will crack in one way or another and will not be habitable.

"As the policy of local authorities and planning committees is to recommend demolition and reconstruction over condensation and reinforcement, the number of such projects will increase, and it seems less and less apartment owners continue to live inside construction sites."

Roni Mizrahi: "In the current situation, there is no future for NPA 38. Even before the outbreak of the Corona era, NPA was characterized by the inability of the government and municipalities to make an orderly decision. Within 4-5 years, the NPA's building rights policy changed completely, and we as entrepreneurs We have found ourselves running around for long years, sometimes 5-6 years and more, in order to get simple formal approval for this or that program.

"Precisely during the Corona period, the decision to limit the days of the TMA until October 2022 was reaffirmed, which completely undermined the confidence of the entrepreneurs, and especially small and medium-sized entrepreneurs.

On TMA 38/1, which is usually carried out by relatively small companies, the scroll was blocked a few weeks ago when the Supreme Court made a sweeping decision not to recognize a warning note to tenants, which caused many developers to withdraw the plans.

"NPA 38, and especially 38/2, has a right to exist and even an extension of rights.

The Israeli government must set rivets of uniform regulation and declare that regulation will be valid for at least 10 years, which will give entrepreneurs maximum confidence to continue promoting these projects. "

Omar Guggenheim: TMA 38 is a relatively fast construction method for execution and an important tool for increasing the supply of deficient apartments.

There is no doubt that there is a need for both large projects in places that are possible, and also boutique projects in places where a tower is not suitable.

It does not replace it.

"It is currently forbidden to give up or replace TMA 38 before an alternative plan has been formulated and a long transition period has been set, which will allow the implementation of projects that have been launched in terms of tenants' engagement with an attorney and an entrepreneur. Each alternative plan will bring a learning period and market adjustment. "It will slow down the pace of urban renewal and reduce the supply of apartments for a long time. Apartment prices will rise due to lack of supply, companies will lose a lot of money on projects that started and got stuck."

Itai Smadar: "The time has come to shorten bureaucratic procedures, but in accordance with the required approval procedure. It may be necessary to consider a gradual cessation of the program, to allow time for adjustment and adjustment for those who only deal with it, so that they can develop into other industries."

Harel Peretz: "TMA 38 projects are mainly carried out by small and medium-sized companies, some of which have been directly or indirectly affected by the current economic crisis.

It is impossible for them to continue with the decision to completely abolish the field, from which there are hundreds of families that can fall into the cycle of unemployment.

A new plan must be examined in the light of the current reality. "

Israel Yaakov: "TMA 38/1 is only relevant in places where evacuation-construction or TMA 2 cannot be done, especially in very crowded neighborhoods or small streets, where the addition of a large number of housing units can cause unreasonable loads. I I think that wherever an evacuation-construction or demolition and construction project can be built, this should be encouraged.

Avi Bitan: "There is no need for an alternative plan, but there is room for promotion of the outline by the regulator (at local and national level). Instead of one developer or another, the regulator will determine together with the local authority which are the preferred places for renewal. Both bodies will work for appropriate budgets." "The renewal will determine what addition will be given, and then it can be put out to tender for execution. This idea has a ownership problem, as the tenants' consent is needed for this choice. The procedure requires appropriate legislation, which will probably happen in a few years."

Moshe Koren: "Over the past few years, Azorim has chosen not to enter into the activities of TMA 38, for the reason that it is not a real activity of urban renewal, but only an activity of renovating the building and the apartments.

Instead of TMA 38, it is required to continue to develop complexes of urban renewal.

"City centers in most Israeli cities include many buildings designed and built in the 1960s and 1970s. There is no reason for these lands not to have an orderly regeneration process, to bring in a young population, serve as a lever for infrastructure development, revitalize the city and significantly increase the quality of life of the population. The existing one. "

Residential solutions

In the past year every fifth apartment has been built as part of urban renewal.

Do you anticipate an increase in construction starts in the coming years?

Roni Mizrahi: "Currently, urban renewal takes a share of about 16% of construction starts (about 8000 housing units per year). I estimate that it may crash in the coming year only about 500, because most of the projects that will be promoted will have already been approved and construction begins. "Future projects that are currently in the process of approval or other, especially in the areas of TMA 38, will not be promoted for the most part."

Architect

: "In the past, cities were built with the idea that the apartments in them would be enough for the number of people in the country.

Due to the constant growth of the population in Israel, we find that the place in our cities has run out.

By 2050 we are going to double the number of residents in the country, so we need to implement solutions that will allow people to live in cities.

"The lack of space in the city centers creates a reality in which we see more residential projects being built on the outskirts of the cities, which horizontally expand the existing one and make the tenants dependent on the car, far from the entertainment and cultural centers of the city.

"Urban renewal makes it possible to expand the city vertically, make better use of existing space, thus enabling more people to live in the city. Urban renewal projects are good not only for those who live in them, but contribute to the entire project environment, both infrastructure, open and green environment. Construction, updating and upgrading of quality public buildings. "

Eyal Handler: "I expect an increase in construction starts, especially in areas of demand, where there are no alternatives to available land. The more the state is educated to promote eviction-construction complexes in the best and quickest way that exhausts the rights, the residents themselves, residents of the regenerating city and citizens of Israel." The rise in housing prices. "

Sami Mazlawi: "I expect a big increase, but we need the cooperation of the government. If we want contractors and developers to do evacuation-construction projects we have to give them options and benefits. The state must give candy in the form of a budget to the municipality, in order to change the public environment Of the buildings from the 50s and 60s.Also, give the municipality priority for these projects.So we will not have to make changes again in half a year.

"It cannot be that the state determines the amount of rights given to tenants. Some tenants want to increase their apartment to 100 meters. It is the citizen's right to increase his apartment as he wishes, and not to the size dictated by the government."

Ayelet Rusk

, CEO and owner of a complex company that finances and accompanies residential projects: "It is clear that there are more and more projects underway, with many developers trying to accelerate projects in the TMA 38 area before the program expires. Both tenants and developers prefer to initiate TAM projects." A. 38 because the procedures are faster.

"However, in the long run, there is no doubt that the construction of projects through a comprehensive evacuation-construction plan for an entire complex is more correct. The Israeli government must act to remove barriers so that construction falls are not dropped. In addition, the issue of urban renewal in the periphery must be addressed. "It paints a bleak picture of a minority of evacuation-construction projects that require government intervention."

Sima Maor: "I expect that the rate of construction through urban renewal will increase in the coming years, mainly due to shortages of land in the center of the country, demographic growth and growing demand for apartments next to it. Urban renewal plays a significant role not only in real estate but also in social and cultural.

"Urban renewal processes inevitably lead to an improvement in the living and living conditions of the existing population, which is sometimes a socio-economically weak population. The renewal will allow them to upgrade their place of residence and living environment, and if they want to sell even significantly improve their property."

Harel Peretz: "What we see coming to fruition today is the result of work that lasted more than a decade. Dealing with tenants and authorities takes time, but the result is the addition of housing units on existing land, renovation of buildings, infrastructure, adding services to the community and more. "In its name, urban renewal is being promoted in many cities in the country, and I certainly expect that as time goes on, we will see more and more such projects come to fruition."

The key to change

What should the government do to promote urban renewal in the coming months?

Kimeldroff: "The government, through the Urban Renewal Authority, is promoting many processes and developing significant tools to promote urban renewal, and must continue to do so. The authority is very active in promoting regulation such as updating the refusing tenant law, establishing maintenance mechanisms, transparent transformation mechanisms and initiating planning and development. .

"The authority should continue to develop the field of stakeholder participation in order to facilitate and reflect the process to the tenant, entrepreneur and local authority and bridge the knowledge gaps of all bodies. It seems that the great momentum in the field has permeated local and district planning committees. I also welcome the VOTAL's focus on these programs. , Which in my opinion constitute the future land bank of entrepreneurship in Israel.

"At Shikun VeBinui, urban renewal already constitutes more than 30% of the plans and housing units planned by the company, in a wide geographical spread and on various scales. This is how we promote evacuation-construction complexes in Tel Aviv, Jerusalem, Holon, Petah Tikva, Ramla, Lod , Even Yehuda, Or Akiva and more.

"In Tel Aviv, for example, we are promoting texture building permits on Smets Street in the old north, Derech Hashalom, and Padua in Afeka A, as well as many evacuation-construction plans, the most significant of which is in the Neve Sharet neighborhood that has been deposited and encompasses more than 1,100 housing units. In the city center, it has more than 3,600 housing, commercial and employment units, and is the largest entrepreneurial evacuation-construction project in the country.

"We certainly see a significant increase in the execution and planning of urban renewal projects, which combine the company's planning and execution capabilities with its financial strength. These advantages, together with the marketing system, customer service and experience in green construction, ensure an increase in activity in this field."

Haim Karadi

, CEO of Praszkowski: "At the end of the day, the local committee makes the decisions, and some authorities oppose urban renewal, because it adds residents and increases their deficit. This creates a situation where authorities do not cooperate. There should be a central body to plan and operate the area. "A body that will oblige the local authority to give priority to projects in renewal at the level of districts, areas and complexes. In this way, issues of education, infrastructure, roads, leisure areas, parks and more will be addressed."

Lior Bardugo

, entrepreneur, owner of Bardugo Group: "The Corona has undoubtedly challenged the construction industry in Israel and the real estate market.

In terms of urban renewal it has created an incentive for decision makers to revise in its current format.

The key to real change lies with Minister Katz, who is known for his decision-making and his willingness to make big moves.

"I see the Arrangements Law and an overall plan in the field of urban renewal as the solution. A significant addition of housing units in city centers should be allowed, in exchange for granting planning and initiation permits and exemption from tenders to developers who undertake to complete planning procedures within a certain period.

In exchange for the relief and additional building rights, the Authority will be able to collect additional improvement levies in areas where the density will be permitted.

This will create an incentive for the local authorities, who until now had no real interest in advancing the plans, since most of the development expenses applied to them and the levies were not high enough. "

Haim Avitan: "Increasing the budget of the government authority and enacting the regulations for the Urban Renewal Fund will accelerate urban renewal in Israel considerably."

Amir Lotan: "To create certainty, to force the municipalities and everyone around them for much shorter times. It does not make sense that from the day I submit an application to the system it takes two years until the permit is issued. I would set a six-month threshold from the day of submission to the permit.

"Today if the municipality did not have time to take care then the automatic answer is negative. If the automatic answer was positive, the municipalities would do everything to meet deadlines. Another important point is planning certainty. Day there is planning uncertainty. You start please and every day a new goat enters a plan. "Volume, like the quarterback plan, created a beginning of certainty. I would have continued in that direction."

Sima Maor: "In my opinion, the government should subsidize urban renewal projects in the periphery, ie allow renewal even in areas where land values ​​are low. This will allow the developer profitability, along with assistance to residents and tenants, who will benefit from renewal in their area."

Meir Baron: "The Arrangements Law contains important sections for accelerating projects, such as lowering the required majority of tenants' consent to promote eviction-construction from 80% to only 66%. Therefore, legislation should be promoted that will regulate many open questions in the field and help promote projects."

Itai Smadar: "The continuation of Hotamal's activities must be approved and significant powers transferred to the committee.

It was also desirable to increase the manpower in the district and local committees, in order to address the number of projects awaiting approval. "

Yehuda wrote: Urban renewal projects should be encouraged in the periphery, in areas that need renewal both economically and socially and in terms of security and earthquakes.

Precisely there are not enough projects promoted, due to low land values, which are not enough to promote projects that are economically viable.

In this situation, solutions such as areas of completion or tax credit should be prioritized.

"I remind the government that we must prepare for the fact that in 2040 another 2.5 million new apartments will be needed, depending on the population growth in Israel, and understand that a range of solutions is needed. To do this, the industry must be rescued from the corona crisis and work collaboratively."

Avi Bitan: "It is not possible to analyze a process of urban renewal within a period of months. Each proposal will present a solution to a concrete problem of this or that developer in a specific project. Regarding the field in general, the more projects are promoted, the percentage of casualties will decrease."

Ready for surprises

Do you have a tip for shortening the endless procedures for approving plans?

Haim Avitan: "Our ideas for process shortening are all under discussion for the purpose of creating legislation on the subject. We are attentive to the area - to any tenant, mayor or entrepreneur, who comes to us and offers how to improve the cumbersome process of urban renewal. We invite everyone to continue to do so. "Those who come from the field teach us more than anything. We are now in discussions to create legislative amendments, and continue to listen to the general public through round tables and face-to-face meetings, which yield great solutions."

Haim Karadi: "Establishment of a national planning authority that will oversee the issue with extensive powers."

Eyal Handler: "It is mandatory to set orderly schedules according to which the planning committees must meet the approval and promotion of the plans and permits submitted by the developers. In addition, it must be determined that if the committees do not meet the schedules, the project automatically advances to the next planning committee or permit.

"In general, in order to optimally advance evacuation-construction processes, the state should expropriate most of the powers from the local committees, which see only their local interests, and leave them in the hands of the district committees, which have a broader vision. Schedules, up to two years from the submission of the first application until the approval of the master plan.

Lior Bardugo: "At a time like this, when the time for obtaining a license is extended from year to year, I believe that the heads of the authorities have a crucial role in adopting a green route for issuing building permits. This means a willingness to discuss with the developer a building permit." It is a complement to the detailed design, construction, GA and firefighting.

Upon receipt of the permit under the conditions, the developer undertakes to complete the other components that do not affect the design and level of safety and at the same time can initiate marketing processes.

"In places where the green route has already been adopted, the planning process has been shortened by six months, valuable and very significant time. Rehovot, Bat Yam and Rishon Lezion are already there. They require the developers to meet the minimum conditions, and within months issue a building permit. "When there are the required approvals."

Advocate Naama Schiff: "I think the state should continue to implement the remote work of the planning and licensing committees - it has been proven to be an effective tool that shortens time and streamlines procedures. Whether it is zoom discussions, or the possibility of remote signing or remote verification and the like. I hope the state allows "And that the entire industry will be more open to the use of virtual means. It will significantly shorten the schedules and will definitely make a significant change for everyone."

Avi Bitan: "It is important to work in order, but at the same time and not in a column, even though it costs a lot of money and there is risk on the side. Check at a given moment against risk and promote as much as possible. The most important thing is to form tenants around the idea and understanding that they are going to change their quality "From end to end. When tenants are cohesive, they are the best engine for both the developer, the authority and the regulator."

Meir Baron: "In the process of approving the master plan, a lot of time is wasted on disputes between the developer and the planning committees and the planning department of the municipalities.

This can be solved by appointing real estate appraisers with extensive experience in accompanying projects, who will serve as crucial appraisers in this matter. "

Moshe Koren: "The important key element in long renewal processes is to harness the residents to the project. In order to do this, we need to clarify the benefit they will get from supporting the project, and give them the right solutions for future housing in the new complex. The new eviction-credit mechanism we introduced in areas allows us to present benefits." "Types of tenants - from a family that needs a larger apartment, through an older person who just wants a minimum of shocks to an investor who rents out his apartment. In this way we significantly shorten the processes of signing the tenants and can launch projects."

Ran Malach: "Today there is much more awareness and push from the Urban Renewal Authority to promote projects, in order to increase the volume of construction in areas of demand due to a lack of vacant land.

There is no doubt that the issue is on the agenda, but certainty must be produced.

"In urban renewal projects, everyone benefits - the local authority, the tenants and the developer, by renovating the old buildings, infrastructure and the environment. But without planning certainty, developers will be afraid to enter projects that require a lot of preparation time until the land. If there were clear guidelines. It is simpler to promote projects, to shorten procedures and in accordance with the schedules for implementing projects. "

Shmuel Chai Reuven: "Act in parallel in as many channels as possible and not go through step by step in the bureaucracy. Everything that can be promoted - promote as soon as possible. And of course, be prepared for any scenario in the project, from activities with tenants to work with planning authorities. Delays along the way. "

Produced by the Department of Special Supplements