An 85 sq. meter, 4 room condominium on Balfour Avenue in Jerusalem’s Rehavia neighborhood has been bought for NIS 5.35 million. The condominium on the nook of Ovadia from Bertinoro Avenue is simply 30 meters from the Prime Minister’s residence.
The worth of the deal is considerably greater than the typical costs within the space, at about NIS 63,000 per sq. meter. In February 2023, one other similar-sized condominium within the constructing was bought for NIS 4.7 million. Thus the value has elevated 14%, which is far greater than the value will increase recorded over the previous two years.
Rehavia is one among Jerusalem’s oldest and most prestigious neighborhoods, which is near the town middle. A lot of the historic neighborhood was owned by the Greek Orthodox Church, till the beginning of the twentieth century when it went bankrupt and the Jewish Nationwide Fund and the Israel Land Growth Co. (Hachsharat Hayishuv) purchased up the land.
The neighborhood’s planners developed a backyard suburb, with flats, gardens and public areas. The Balfour Avenue condominium is within the east of the neighborhood, on the border of the Kommiyot neighborhood (Talbiah). House costs in Rehavia common round NIS 58,000 per sq. meter. Older flats are being bought for about NIS 50,000 per sq. meter, whereas new flats, constructed in response to preservation plans, are bought for at the least NIS 65,000 per sq. meter. The Balfour Avenue condominium bought now was in-built 1950.
Actual property appraiser Kobi Bir says, “Medium plus flats within the space promote for about NIS 50,000 per sq. meter or extra. Nevertheless, this deal is in a wonderful location, though as of late, there are various demonstrations there. It’s the most central location within the metropolis and subsequently additionally probably the most costly. So a value vary of NIS 60,000 per sq. meter shouldn’t be uncommon, even whether it is greater than common. In terms of new flats, costs soar even greater and may attain NIS 100,000 per sq. meter, so the deal appears affordable.
“Relating to the value variations over the past two years, it’s doable that the earlier homeowners undertook renovations to the condominium, which elevated its worth.”
Does proximity to the Prime Minister’s residence have an effect? “I do not assume it actually has an affect, but when something the proximity to the Prime Minister’s residence ought to decrease the worth, not enhance it,” says Bir. “You’ve gotten restricted motion there, and each time you wish to park your automotive, you’re checked, since you are basically coming into a closed zone.”
In distinction, in actual property with spiritual significance, proximity to these thought of group leaders or a significant Torah establishment is critical. For instance, flats and homes within the Jewish Quarter, that are near the Western Wall, can promote for a lot of hundreds of thousands.
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“As soon as, they bought an condominium close to the Sanhedria Cemetery in Jerusalem. They hung an indication on the condominium, ‘The condominium closest to the grave of Rabbi Ovadia Yosef,'” says Bir. “An ultra-Orthodox Jew with cash in his pocket will comply with pay extra to dwell close to his rabbi. However that is what we name in skilled parlance a ‘particular purchaser.’ This isn’t a market value.”
The underside line: The Rehavia deal is additional proof of the actual property mantra “location, location, location.” Though the constructing shouldn’t be spectacular and lacks uniqueness – at the least from the skin – and the condominium’s space is small in contrast with the norm as of late, the value of the condominium is particularly excessive, because of the wonderful location.
Printed by Globes, Israel enterprise information – en.globes.co.il – on Might 4, 2025.
© Copyright of Globes Writer Itonut (1983) Ltd., 2025.
