Givatayim municipality promoting 300,000 sq.m. business, commercial center

The Givatayim municipality is promoting one of the largest business centers for the Tel Aviv and central region. The 300,000 sq.m. South Business Center will have business, commercial, and office space. The plan appears to conflict with the trend of planners not to permit construction of commercial space due to the current surplus. One of the goals of the project is to increase the municipality’s tax revenues.

The 80-dunam compound is located between Aluf Sadeh St. to the south, Korazin St. to the east, the Merkaz Hamlakha Building to the north and Tfutzot Yisrael St. to the west. The Israel Land Administrations (ILA) owns the land, and concurs with the development plan. 300% building rights are expected for part of the compound and 450% rights for the rest.

Under the plan, a series of office buildings with adjacent commercial centers will be built. The plots’ owners will submit detailed plans for their own plots. Construction will be carried out gradually, based on demand, with each plot owner determining the form of development and contractor. A central underground parking lot will also be built to facilitate underground traffic in Center.

Part of the compound is currently occupied by various concerns, in part of which there has been construction. Bezeq and the Givatayim municipality lease an eight-dunam plot (90% Bezeq, 10% the Municipality), on which they plan to build 37,000-sq.m. in two office towers. The two-storey building, operated by Bezeq, currently occupying the site, will be demolished under the new plan.

Co-Op Blue Square Israel owns an old building on Tfutzot Yisrael St, which was previously used as its headquarters. This building will also probably be demolished under the construction plan.

Other buildings will remain standing and be incorporated in the building plan, including the Diamond House, the Visa CAL building, the Renaissance catering hall and possibly a building belong to the Israel Electric Company.

Givatayim mayor Efie Stenzler told Globes, “Givatayim is mainly a residential city, and apartment owners pay an average of NIS 44 per meter of living space per year. Business owners, on the other hand, pay an average of NIS 220 per year. One of the plan’s main goals is to increase the city’s property tax income by tens of millions of shekels. Developing the South Business Center will also create thousands of new jobs in the city.”


August 24, 2003 ,Globes Real Estate