"Home prices won't fall in 2014, and anyone who thinks otherwise is deluding himself," said Israel Builders Association president Nissim Bublil at the "Globes" 2014 Real Estate Conference in Tel Aviv today. "In the past couple of years, we've seen progress in the planning and building reform in the right directions, but it has not yet passed, and I do not know when it will be passed."
Bublil added, "With deep regret, another year has passed and nothing has changed. There is goodwill, the housing cabinet has been established, right and wonderful decisions are being taken, but they are not being implemented. Ministers cannot get from decision to implementation; decisions get mired in officialdom. Until the ministers make sure that their ministry officials carry out the decisions, nothing will move forward, emasculating the system.
"Israeli contractors want to build apartments for NIS 700,000, and they know how to do it. The government wanted that price for tenants, it's possible to sell apartments at these prices, if the government wants to do it, it can do it. Where there's a will, there's a way."
As for the Tel Aviv outline plan, which has been submitted for objections, Bublil said, "We're talking about 75,000 new apartments to meet demand. The Tel Aviv Municipality said that it will build 30,000 apartments, which means that prices in Tel Aviv will not come down. Period."
Bublil concluded, "The housing shortage is not a decree from on high. It can be solved with determination."
Published by Globes [online], Israel business news - www.globes-online.com - on March 12, 2014
© Copyright of Globes Publisher Itonut (1983) Ltd. 2014