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"Auctions Raise Cost of Living" | Israel today

2021-11-21T12:58:05.271Z


The Israeli businessman referred to the tender method at a conference in Eilat and claimed: "If you buy expensive land - the rent will be expensive. Why not do a lottery"? When asked about the suspicion of price coordination he declined to comment


Rami Levy against the tender system:

At a conference of the Chamber of Real Estate Appraisers held yesterday (Tuesday) in Eilat, the businessman and controlling owner of the supermarket chain "Sycamore Marketing", Rami Levy, spoke out against the exaggerated Rami (Real Estate Authority) tenders and claimed - "When you buy expensive land - also The rent will be expensive. "   

Levy participated in a panel on "Is the Commercial Market and Logistics a Future?", Moderated by Ofer St. Petersburg editor of Real Estate Today.

At the beginning of the panel, Levy was asked by Petersburg - "How does it happen that the consumer knight raises rents, coordinates prices and raises his own wages?". 

In response, Levy replied: "This is nonsense in the juice, I changed my salary component from a bonus to a fixed salary. Regarding price coordination can not be answered at the moment and regarding the increase in rent I did not raise but changed the contractual framework."

Regarding the suspicions against him and senior executives of other leading retail chains in the economy for price coordination, Levy refused to comment in light of the legal sensitivity, but noted that a Knesset member from the committee called to apologize for throwing him out of the hall.

"Tender system raises the cost of living" 

Regarding the astronomical prices of land in the State of Israel, Levy said that "the tender system of the administration must be changed, it is impossible to sell at a high price, it raises the cost of living. Why not make a lottery between bidders and freeze land prices? It will happen and so on, and thus the cost of living will increase. "

He added: "If 8 years ago in a land tender near Azrieli I offered NIS 126 million and Azrieli offered NIS 500 million and won this is the example of a price increase, which in the end is passed on to the consumer. North Tel Aviv belongs not only to the rich but to everyone. The Israeli government needs a lot of money. "It has increased the budget by NIS 20 billion, so they are taking the citizens away from us. The state is the problem, also in the fact that it imposes so many taxes on the citizens." 



Avi Lalom, Deputy Chairman of the Bar Association, addressed in the panel Finance Minister Avigdor Lieberman's remarks at the conference regarding the rise in housing prices and argued sharply "" If a private business were to say what Lieberman said yesterday that next year housing prices will rise by 5-6% "The government has an interest in raising prices so it gets more taxes." 

The future lies in marlogs 

Yossi Azulai, CEO of Ista Properties, commented on the increase in the value and price of the logistics centers in the last two years: Marlogs have huge demand. If someone has a Marlog, there is a lot of competition for it, between Gedera and Hadera you will not find Marlog vacancies.   

Moshe Rosenblum, CEO of Ofer Malls, also addressed the issue of rising prices for marmalades, which stems in part from changing the consumption habits of consumers who have purchased more online in recent years, and said: "The mall will not disappear. The neighborhood mall will become every consumer's mall. The great ones, we will destroy them and build housing units.

The mix will change and change right now.

Need more entertainment and a different kind of stores.

For example, Yad2 stores, the most dominant store in "is a second-hand store. The mall will be a hybrid and the hybrid consumer, will buy online and come to pick up from the store, some of the tenants in the malls will turn the stores into warehouses from which customers will pick up products they bought online."   

At the end of the panel, Rami Levy was asked to give a forecast for the coming years regarding the office market and said: "I expect greater demand for offices because the conversion of residential offices has been approved, which will cause a decrease in supply and then demand will increase and price rise."

Source: israelhayom

All news articles on 2021-11-21

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