Staking out Israeli land
Staking out Israeli landIsrael News Photo: (file)

The global economic downturn has hit many people hard, with some having to liquidate their real estate assets. In the case of at least one Jewish man in the United States, the result is an ideological crisis that impacts Jerusalem.

The lands were bought by wealthy Iranian Jews out of purely ideological motives.

Aryeh King, chairman of the National Lands Fund, told Arutz Sheva Radio on Monday the story of an American Jewish businessman who lost his properties as a result of the global economic meltdown. As a result, among other necessary steps, he was forced to sell land he owns in eastern Jerusalem to an Arab buyer - though it might not have passed the point of no return.

The businessman, a religious Jew originally from Iran, owns property in Jerusalem that he purchased more than 30 years ago, including four dunams (about one acre) in the majority-Arab Beit Tsafafa neighborhood of the capital. He has sold one dunam to an Arab buyer. "A Jewish agent made the connection between him and the Beit Tsafafa Arab, and the deal was made," King said. However, the American Jew's lawyer, "a young Tel Aviv man, refused to sign off on the deal for ideological reasons."

The property in question was one of many Jerusalem properties purchased by Jews in Tehran during the reign of the Shah. The lands were bought by wealthy Iranian Jews out of purely ideological motives. In fact, the landowner in question only learned where his properties were located last month, King said.

Right of First Refusal

King discovered that the real estate sale is to be carried out in stages. Following the sale of the one dunam, the remainder is being held by the current owner until the end of November. At that time, King explained, the purchaser will have the right of first refusal in the event that a Jewish buyer is not found. The agreed price was about 25 percent less than the current market value, due to the owner's need to sell.

Seller Willing to Absorb Penalty

King described to Arutz Sheva the situation in which he found the American Jewish businessman, who tearfully explained that his critical financial situation forced him to sell the Jerusalem properties. In discussions with his rabbi, other members of his community and King, the businessman was informed of the Zionist importance of his property in the Israeli capital and the serious nature of such a sale. As a result, the businessman decided that if a Jewish buyer can be found, then he will absorb the penalty for breaking the agreement he signed with the Arab purchaser for the first dunam and reverse the sale.

The land currently being sold is an open area zoned for five or six residential buildings on each dunam. King said that the municipality is in the process of approving the construction of a new Jewish neighborhood in the region. The price is currently $180,000 to $190,000 per dunam, King said, which is a very good price for the land. King further noted that this purchase is part of an ongoing financial struggle with extremely wealthy Arab and Iranian interests in the Persian Gulf region, who are busily buying up properties in all parts of Jerusalem in an effort to transfer them to Arab hands.