Urban renewal is a real estate transaction for all intents and purposes – the apartment owners sell their rights (including the future) in the property to the developer, and he in return promises to provide them with an alternative apartment of a higher value in the project, including covering the associated expenses. Our office represents tenants all over the country in urban renewal projects while safeguarding the interests of the apartment owners, maximizing the return from the developer, protection against risk situations, conducting negotiations on the wording of an agreement between the apartment owners and the developer, the contractor or any other professional, supervising the implementation The agreement and the realization of the obligations of the developer and the apartment owners, updating the apartment owners regularly regarding everything related to the project:
The approval procedures, the construction procedures, obtaining bank guarantees before handing over the existing apartment until receiving the key to the new apartment and the end of the project, including the inspection period, our office provides a solution with an emphasis on providing explanations to the apartment owners about the legal meaning of the agreement on its clauses, including the meaning of signing or not signing on him
Over the years, our office has gained a lot of experience in representing tenants while learning the needs of the tenants and the different populations living in the construction complexes and their requirements given to them by law, such as the disabled and tenants who meet the requirements of the Elderly Law. In the urban renewal complexes, they will receive the same compensation in order not to create a situation in which there was an unequal distribution of the transfers provided by the developer.
The first option deals with a transaction in which the residents of the building apparently benefit from the expansion of their apartment free of charge by adding a balcony (sometimes also a balcony and other areas in the apartment), adding an elevator if necessary and the main goal: strengthening the building so that the next earthquake does not collapse like a blown leaf on its residents God forbid. There is a tendency to forget that this is a lofty goal whose goals are blessed since the lack of durability of old buildings in the State of Israel should not be underestimated. There are even testimonies from the field of contractors who opened columns in existing buildings and could not believe their eyes, the columns that were found to be fragile and could collapse even as a result of the weakest earthquake on the Richter scale.
The second option is the demolition of the building and its reconstruction – the TMA allows the demolition of a building that is determined to be required to be strengthened and rebuilt, plus rights according to the TMA. In such a case, the TMA allows deviations from building lines, the combination of building rights based on existing plans that have not yet been realized and rights based on the TMA and the construction of underground parking. All this with the aim of encouraging demolition, which is the best option for strengthening the structure from an engineering point of view
Each of us dreams of an opportunity to receive such a gift from the government, a net profit. If our building is indeed eligible for such a deal, how do we know how to enter into such a deal carefully? A number of very important elements must be kept in mind before engaging with contractors/entrepreneurs. The first is the element of time, the length of time of a transaction can make it worthwhile and not worthwhile. Sometimes the length of time until the completion of the project can be dragged on and delayed by certain people unnecessarily. This delay means prolonged discomfort for the tenants and sometimes even an explosion and the termination of the project.
Another element that must be taken into account is previous projects of the contractor/developer, there is a saying in Polish – “The best way to anticipate the future is to look to the past”. None of us wants to be a guinea pig for a contractor or entrepreneur who decided to enter the field. Previous projects that have been completed should be seriously examined and it is even worth traveling to the area to see the buildings with your own eyes and feel the quality of the construction. The construction of the TMA 38 project is a complicated matter, unlike normal construction, and therefore experience must not be compromised.
Our office serves as a collector of private and commercial real estate assets. We also accompany real estate transactions in terms of financing and mortgages. Accompanying real estate transactions and financing complex real estate transactions, sale of residential and commercial real estate assets through tender procedures.
Purchase groups, representation of tenants and contractors in TMA 38 transactions and combination transactions. Representation in appeals and real estate taxation committees. During the year 2022, the firm placed emphasis on the representation of tenants in areas of eviction and construction and concluded representation agreements with financial volumes over approximately NIS 50,000,000 million
