Burger King has shuttered its flagship branch on Ibn Gabirol Street in Tel Aviv, marking the end of a short-lived chapter for what was once the American fast-food giant’s centerpiece location in Israel.
The branch, which reopened in 2016 under French-Jewish businessman Pierre Besnainou, was the first to operate under a new franchise agreement and served as the site of the brand’s high-profile relaunch in the country. Burger King had previously exited the Israeli market for several years.
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Children wearing paper crowns wait in line at the counter during the opening of Burger King’s first branch in Israel, in Tel Aviv, Feb. 2016
(Photo: Shahar Shedrin)
Despite the initial fanfare, the location struggled to remain viable. Financial statements for 2024 show Burger King Israel reported approximately 15 million shekels ($4.5 million) in losses and continues to operate with negative equity.
Now under new ownership, the chain is changing course. Delek Israel, a holding company controlled by Avi Levy and Eli Lahav, acquired the franchise from Besnainou in 2022. Delek had earlier purchased a national gas station network from the Delek Group, controlled by Israeli businessman Yitzhak Tshuva, and initially planned to integrate Burger King outlets into service stations. That plan has yet to materialize.
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Instead, Burger King is focusing on neighborhood-based locations, particularly in growing communities with younger demographics—a trend that gained traction during the COVID-19 pandemic. At the same time, the company is reconsidering the feasibility of operating high-rent city center branches.
Three branches remain in Tel Aviv: at Dizengoff Center, on Rokach Boulevard and inside Azrieli Mall. Across the country, Burger King currently operates 19 locations.
“We’re focusing on opening branches in commercial centers at the heart of residential areas, rather than in traditional enclosed malls,” said Keren Kupermintz, chair of Burger King Israel. “We’re also exploring locations at gas stations to improve accessibility for customers across the country.”
Kupermintz noted that the rising popularity of food delivery services has reduced the need for multiple branches in the same city. Recently opened locations in Rishon LeZion and Ben Gurion Airport reflect the shift, with additional branches in Holon and Haifa expected in the coming weeks.