Jerusalem
Photo: Moran Rada
Foreign haredi residents invest $1.2b in Israeli real estate
Investments in Jerusalem alone total $715 million, with Romema neighborhood most popular among ultra-Orthodox, religious investors
Foreign haredi and religious investments in Israeli real estate over the past four years have brought in some $1.2 billion, a market study presented Wednesday at the ultra-Orthodox sector's economic committee at Jerusalem's International Convention Center revealed.
According to Bruno Bisroir, one of the committee's organizers, "Jerusalem Bank, which specializes in mortgages from real estate buyers in the haredi sector, grants an amount of NIS 300 million-400 million (about $71million-94 million) per year in mortgages for hardei and religious foreign residents, for the purpose of purchasing apartments across the country."
The data presented at the committee showed that foreign religious and haredi investments in Jerusalem alone brought in a total of $715 million over the past four years.
An additional $400 million were invested in plots of land for construction in the city.
Other Israeli cities preferred by foreign religious investors include Beit Shemesh, Bnei Brak, Ashdod, Modi'in-Ilit, Herzliya Pituach and Tel Aviv.
Most of the investments in Jerusalem were carried out in old prestigious neighborhoods, but a significant part of the investments went toward purchasing 3-5 bedroom apartments in old neighborhoods such as Beit Israel, Geula and Sanhedria neighborhoods.
Romema neighborhood, on the outskirts of Jerusalem, was the most popular neighborhood among foreign investors over the past two years, where a 3,000-apartment project aimed at American and British haredi investors is in planning.
Apartment prices in neighborhoods popular to foreign investors have risen by up to 70 percent over the past two years.
