Court ruling paves way for dream house auction by Kinneret

The Israel Lands Authority (ILA) published the results of the marketing of 171 plots of land in Kibbutz Haon on the coast of Lake Kinneret (Sea of ​​Galilee). There was such strong demand that 900 bids were submitted for the land in two auctions – the first on the open market and the second for Army reservists who did not own a home.

On average, army reservists will pay NIS 1 million less for land. The average price on the open market is NIS 2.4 million compared to NIS 1.3 million for army reservists. Winning bidders will be required to seek approval from the reception committee, and the prices do not include the cost of the development, which remains unknown and could make the cost significantly more expensive for the winning bidders.

The publication of the winning bids comes after the court rejected a petition filed by the Emek Yarden Regional Council and Kibbutz Haon, which attempted to stop the public land auction. Auction boxes had already closed to bids in mid-September, with bidders having to wait for the court to rule on the petition and find out whether they won.

At HaOn Auctions, 248 plots of land ranging in size from 300-500 square meters will be marketed for house construction. In total, there will be four auctions, the first of which has been completed for 171 lots. The minimum bid price ranged from NIS 655.00 to NIS 1.1 million, before development costs.

Lots sold for more than double the appraisers’ price

In the closed auction for Haon Company’s lands in the free market, 91 plots of land were sold, and 656 bids were submitted to purchase the plots. The lowest price for the closed lot in this auction was 1.6 million shekels, and the most expensive piece was sold for 4.6 million shekels. The valuation for the piece with the highest winning bid was NIS 1.98 million (less than half the winning price) and the minimum bid price was NIS 902,000. In terms of bids for the lot, the average bid price was NIS 1.59 million, below the estimated value.

In the past, Globes reported that Hanoch Daum, the writer and television personality, bought a house in Haon for NIS 8.3 million, an amount well above the price at auctions.

In the second auction for reserve soldiers, 80 lots were marketed, and 216 bids were received. The average purchase price of land is 1.3 million shekels. According to the auction results, the most expensive piece of land closed by reserve soldiers was 2.8 million shekels. The appraiser valued the piece at NIS 2 million, the minimum price was NIS 925,000, and the average bids at the auction to purchase the piece were NIS 1.4 million. The lot that won the lowest price received was just NIS 933,000 – the appraiser valued the land at NIS 1.3 million and the minimum price was just NIS 582,000.

Auctions have not yet closed for land in Kibbutz Haon

Two additional auctions for land plots on Kibbutz Ha’on, of the registration and lottery type, which include 73 units, one for disabled IDF veterans (25 units) and the other (48 units) for reservists, have not yet closed. In these auctions, the brochures have not yet been published with the expected prices, and the closing date is now December 23.

In the court petition, which was rejected, the petitioners said that marketing the plots of land at public auctions at a high price “has fateful consequences for the future of the area, which means turning the settlement into a holiday village for wealthy Israelis, or into a vacation village.” “A ‘ghost’ settlement, not a real community settlement with community life.” They also claimed various flaws in the auction itself. In response, the Israel Lands Administration claimed that these properties are unique – on the coast of Tiberias – and therefore should be marketed through a public auction, ” Giving priority to the groups the state seeks to support these days – disabled IDF veterans and reservists.”

The head of the Israel Lands Authority, Yaakov Kvint, said: “I welcome the court’s decision, which took into account the well-being of all citizens of Israel, adhered to the principle of equality and adopted the broad guidelines that we set under the guidance of the head of the Israel Lands Authority.” Israel Lands Administration Council Minister Goldknopf: Mortar lands do not belong only to the residents of the Regional Council and their children. “The aim of the petition was simply to market the lands to children and close relatives,” the court ruling said. In the tenders that we published, the winners were not businessmen or children of wealthy people, but rather young people and reservists who wanted to live in a beautiful place, and they received a very large discount on the price of the land.”

The Jordan Valley Regional Council said in response to the court’s decision to reject the petition: “We regret reading the judge’s decision regarding marketing the pieces in mortar. We will study it and certainly consider submitting an appeal to the Supreme Court.” court.”

Published by Globes, Israel Business News – en.globes.co.il – on November 6, 2024.

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