Effi Capital has announced the start of construction for Effi Square, a new office and commercial project in Ashkelon expected to generate revenues of approximately NIS 215 million. The 8-story building will span a total area of around 15,000 square meters and will be built at the entrance to the Tera Park complex in the Ir HaYayin neighborhood. The building will include a commercial ground floor, a rooftop, six office floors, and an underground parking garage. All spaces will be offered for sale only.
According to a report by Natam attached to the project, rental prices for A-class offices in Ashkelon have risen by about 39% since 2021 - an average annual increase of approximately 11.5%. In 2024, the average rent stood at around NIS 50 per square meter, compared to NIS 36 per square meter in 2021 - a figure that underscores the site's economic potential.
Ir HaYayin Is Growing - and Investors Are Already On Board
Effi Square is located in the heart of Tera Park, which spans 720,000 square meters and is set to become one of the main employment hubs in southern Israel. The complex includes areas designated for commerce, clean industry, offices, research and development, logistics, and expansive green spaces. The development plan was carried out with state support, including incentives to encourage high-tech companies to relocate to the area.
Transportation access is a clear advantage: Ashkelon’s train station is within walking distance of the project, and several major roads are nearby - including Routes 4, 3, 35, and Route 6, which is only about a 10-minute drive away. During the presale phase, the company is offering special financing terms, including a 20/80 payment model, exemption from linkage for a limited number of units, and discounts for early buyers. Office spaces start at 110 square meters.
Omri Sonigo, Head of Commercial Real Estate at Effi Capital, stated: “This is a commercial and employment project that has been thoughtfully designed with architectural planning tailored to the various target audiences expected from the area. We are seeing strong demand from investors who understand the potential of the complex due to its accessibility and the proximity of the Ir HaYayin neighborhood, which is expected to house around 40,000 residents.”