Housing cabinet aims for 200,000 units for haredi housing

An influx of foreign construction workers set to speed building.

July 25, 2016 21:05
1 minute read.
Construction (illustrative).

Construction (illustrative).. (photo credit: REUTERS)


Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analysis from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user experience almost completely free of ads
  • Access to our Premium Section
  • Content from the award-winning Jerusalem Report and our monthly magazine to learn Hebrew - Ivrit
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief


In a flurry of activity, the Housing Cabinet on Monday approved a variety of measures to spur along growth in Israel's housing supply, including a plan focused specifically on the ultra-Orthodox sector.

The ultra-Orthodox plan would see 200,000 new residential units built for the population over the next 20 years, 15,000 of which would be on the market in the next three years.

"The central significance of the decision that we approved in the housing cabinet this morning is the setting of a long-term policy, as a response to the unique needs of the ultra-Orthodox sector, after years that they have suffered from many housing difficulties with no solution on the Horizon," said Housing Minister Yoav Galant.

The plans would include those to make current haredi areas denser and larger, establishing mixed neighborhoods within non-haredi areas, and building new haredi neighborhoods and cities altogether.

The units, however, will be linked in some way to whether the ultra-Orthodox people who want to buy them are working, an effort to boost low labor force participation in the community.

Separately, the cabinet approved a proposal by Finance Minister Moshe Kahlon to mix commercial, industrial and residential areas. The idea behind the move is that many areas built for commercial and industrial use have much of the necessary infrastructure for residential buildings, and surplus space. Infrastructure is a major bottleneck in the building process, so rezoning could help speed some residential construction. The process would require local authorities to rezone and impose certain conditions. It also took steps to speed up permits.

In addition, the cabinet moved to allow local authorities to levy property tax on empty residential buildings. The tax is intended to spur owners to either rent or sell the buildings as quickly as possible.

Plans to increase foreign workers in the construction field are taking hold. In the last year, the number of foreign construction workers increased 40% to 50,280, with another 8,000 expected to join by the end of September.

42,053 of current foreign construction workers are Palestinian, and 7,000 of those expected to come by September will be as well. The remaining 1,000 will be mostly from Moldova.

Join Jerusalem Post Premium Plus now for just $5 and upgrade your experience with an ads-free website and exclusive content. Click here>>

Related Content

L28 Culinary Platform at 28 Lilienblum Street, Tel Aviv
April 18, 2019
L28 Culinary Platform: Far more than just another Tel Aviv restaurant