Globes, Eric Mirowski, 24.02.2020
The gaps:
What are the price differences between a new apartment that was built in the TAMA 38 project on a reinforcement and additional construction track, and a new apartment that was built in a new project? And what are the price differences between new apartments added to the building under the TAMA, and old apartments that were expanded in the same project? Appraiser Eyal Perov looked at a series of transactions made in several projects in central Netanya and came up with interesting findings.
The projects examined:
● 38 TAMA project at 12 Macdonald St. , which is under construction. Originally, it was a 3-story building above ground floor. The project added 2.5 floors and 10 apartments.
● The 38th TEMA Project at 35 Dizengoff Street . So far, the existing floors (3 above ground floor) have been reinforced, after which they will be added to a 16-building original building - 10 more.
● 38 TAMA project at 15 Gordon Street , already populated.
● 38 TAMA project at 6 Frumkin Street , in progress.
● A new project on Jerusalem Boulevard at the corner of Galilee Street.
Transactions:
● Macdonald Street Project : A 4-room, 119-square-foot apartment on the fifth (new) floor of the project, with a balcony, was sold in August 2017 for NIS 2 million; a similar apartment on the fourth floor of the project was sold in May 2018 for NIS 1.8 million; Another fourth floor of the building was sold in April 2019 for NIS 2 million.
● The project on Dizengoff Street : a 5-room, fifth and new floor apartment of 128 square meters and a balcony, sold in June 2018 for NIS 2.1 million; a new 3-room apartment on the sixth floor, 98 square meters and a balcony, sold for NIS 1.68 million; The 3-room apartment on the same floor was sold for NIS 1.7 million that month.
● The Gordon Street project : 5 room, 123 sqm apartment with balcony, on the fifth and new floor of the house, sold in May 2018 for NIS 1.93 million; a 3.5 room condo on the third floor of the building, 108 sqm, with a sun terrace, was purchased in October 2019 at NIS 1.5 million.This is an old apartment, which has been expanded as part of the GDPR.
● New project in Jerusalem Corner of the Galilee : New 4 room apartments, 115 sq.m., were sold for NIS 2.2 million.
Surgery:
Apartments sold in new projects are more expensive than new apartments in a similar area that are located in the framework of TAMA 38/1 - it makes sense: TAMA 38 apartments are new, but rely on the building's old infrastructure; Planning constraints are often revealed in TAMA 38/1 projects, which are reflected in unnatural elevators in the building that are far from the entrance to the house, or that the elevators that are added to the building are small and uncomfortable.
There are occasions when the elevator shaft detracts from the surface of the existing apartment adjacent to it. The parking lots for such buildings also sometimes seem forced and crowded - and these are just examples.
On the streets of McDonald and Frumkin streets new 4 room apartments were sold at prices of about NIS 2 million, while in the new project they cost NIS 2.2 million; New 5-room apartments in a project on Dizengoff Street cost more or less like 4-room apartments in newly built buildings.
Bottom line:
When it comes to older flats in Tama 38, their prices are significantly lower. If we compare and consider the transactions of the old 3.5 room apartment but expanded on Gordon Street to the new 5 room apartment sold in the same project and the new 3 room apartments sold on Dizengoff Street 15% averages.