A large-scale housing plan for the hasidic community was presented this week at a conference in Jerusalem, promising what seems almost impossible in today’s market: an apartment for a haredi yeshiva family at a price of up to one million shekels. The project, based in Emmanuel, aims to address the housing crisis in the hasidic sector.
The project, initially including about 500 housing units and later expanding to hundreds more, is based on a business model different from the norm.
"Instead of a developer leading the process, this is a buyers’ group organizing as a unit, with early approval from each participant and the selection of a management company meant to reduce construction costs," explained representatives from the hasidic communities.
Attorney Natan Rozenblat, who led the conference, described the initiative as "a new model where buyers are not dragged along by developers, but organize themselves as a responsible group." According to him, the model significantly lowers costs and shortens timelines.
Haredi businessman Eliezer Bichler, who is leading the project, outlined six main guidelines: First, there are no changes to the zoning plan, with the building permit submitted immediately to avoid planning delays. Second, each buyer undergoes full early approval to ensure they have the ability to complete the purchase. Third, a "balloon loan" is provided, tailored to haredi yeshiva students, allowing them to avoid combining a mortgage with rental payments.
Fourth, the planning is guided by a haredi architect familiar with the sector’s needs. Fifth, legal guidance is provided by attorney Shlomo Gan Tzvi, with experience in Judea and Samaria. Sixth, the project management is handled by "Mihlol Engineering," which reportedly has delivered over a thousand apartments.
The key question remains whether this model can truly provide apartments at significantly lower prices than the open market. Currently, construction costs are high, raw material prices have risen, and contractor availability is limited.