Work in IKEA compound in Rishon
Photo: Yonatan Zur
IKEA's Rishon Lezion store to open in November
After years of delays, central city's mayor reaches compromise with local merchants to cancel plans for large commercial center, leaving only IKEA store surrounded by high-tech park. Merchants' lawyer confirms objection to project likely to be lifted in May hearing, allowing store to open by end of 2009
After two years of delays, the IKEA furniture chain is expected to open its second branch in Israel in the central city of Rishon Lezion this November.
The project was put on hold following a petition filed by local merchants claiming the intended land was meant for an industrial area and not a commercial one.
But the merchants are expected to remove their objection to the erection of the store in a hearing before the district planning and construction committee in May.
The decision came after Rishon Lezion Mayor Dov Tzur reached a compromise with the merchants, and is slated to send out a letter this week, pledging that IKEA will construct a high-tech park on the Meuyan Sorek compound in the city, instead of a commercial center.
The only commercial area in the compound will be made of up the 323,000 square feet IKEA store.
"I am willing to pledge that we have no intentions of using salami tactics to set up further commercial areas, and will only build high-tech buildings with cafes.
"IKEA's real estate company, Iris Hagilboa, has pledged to me that it will build the high-tech park, and I promise not to build another commercial center, but to make the place green and environmentally friendly, wish a new access road from road 431 as promised," Tzur told Mamon, Yedioth Ahronoth's economic section.
IKEA Israel Chairman Ron Hadasi confirmed that within six months from the time the project is approved by the planning committee in May, all the merchandise will be in place on the store's shelves and 450 employees will be recruited.
"We will wait with our announcement of the store opening for the global IKEA management in Sweden, since we already weren't able to meet our deadlines once," Hadasi said.
Meanwhile, Advocate Elimelekh Crystal, who represents the city's merchants in the case, confirmed they were likely to remove their objection to the erection of the store in the hearing scheduled for May 3, which will pave the way for IKEA to open as scheduled.
"We are not blind and see that the store already exists. The fact that the planned 1.29 million square feet commercial center is not being built, but only an IKEA store, is a success as far as we are concerned."
