The Marker, Gili Melnitsky, 04.10.2020

Two publications by the Central Bureau of Statistics (CBS) hit the housing market last month. The first heralded a 29% decline in construction starts in the second quarter of 2020 (from 13.8 thousand starts in the same quarter last year, to 9,455 construction starts in the last quarter). Announced a 1% increase in apartment prices in June-July compared to May-June. Compared to the same period last year, prices rose by 2.9%.

Test results performed for TheMarker by Netivei HaKama (which deals with the management of statutory and licensing proceedings) are also not good news. In contrast to data from the Planning Administration, according to which the average time for issuing a building permit in 2019 was seven months for a project where no concessions are requested and 11 months for plans that include concessions, construction route data indicate that the time for issuing a building permit in 2019 was in 15 major cities. Was much longer.

For example, in Jerusalem - one of the leading cities in construction starts - the average time to get a permit was 25 months, and the average time to get a permit in a program with the facilities was 28 months. Also in Ramat Gan, the time required to issue a permit was more than two years. The average time required in 2019 just to set a date for a permit hearing was seven months.

According to the company, the data reflects the chronic problems suffered by an available licensing system of the Planning Administration - a computerized system designed to simplify procedures, and required local committees to move from a manual mechanism to an online and uniform mechanism. The system, which claimed to create online uniformity between the authorities, to synchronize between the various bodies involved in issuing the permit (including the fire brigade, the Home Front Command, the Antiquities Authority, etc.), and to encourage transparency - only extended the duration of the permit.