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Home / Rights & Programs / Tenant Rights in Demolish-Rebuild (Pinui-Binui) Projects

Tenant Rights in Demolish-Rebuild (Pinui-Binui) Projects in Arad

Apartment owners in pinui-binui projects are entitled to a larger new apartment, rental compensation during construction, and capital-gains tax exemption.

About Arad

Arad, a small Negev desert city, hosts a small and stable Israeli-Ethiopian community. Arad's advantages include low real-estate prices, clean air and a stunning natural environment, alongside new development projects in the city.

More about the city →

What is Pinui-Binui?

Pinui-binui (demolish-rebuild) is a government programme that demolishes old buildings and rebuilds taller modern ones. In return, apartment owners receive larger new apartments at no extra cost.

Your Rights as an Owner

Larger new apartment: The law requires the new apartment to be at least 12 sqm larger (or 25% larger — whichever is greater).

Rental compensation: The developer must pay monthly rent while you live elsewhere during construction, calculated at local market rates.

Capital-gains tax exemption: Pinui-binui transactions are exempt from capital-gains tax — savings of tens to hundreds of thousands of ILS.

Right to refuse: You can refuse. However, if 80% of owners agree, the court can override refusers (2006 amendment).

Independent legal representation: You are entitled to your own lawyer — separate from the developer's. The developer must cover the legal fees.

Before Signing

  1. Never sign any document before consulting an independent lawyer
  2. Confirm the new apartment includes: parking, storage room, safe room (mamad)
  3. Verify the project is registered at ir.gov.il

📞 Urban Renewal Authority: 03-7385777 | Tebeka (free legal): 072-2424622

Ethiopian community in Arad

Community population
~1,500
Share of city
~10%
Main neighbourhoods
שכ' ג', שכ' ד'
Community services
ENP

More rights in Arad

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FAQ — Arad

How many Ethiopian-Israelis live in Arad?
The Ethiopian-Israeli community in Arad numbers approximately ~1,500 residents — around ~10% of the city's population. Main neighbourhoods: שכ' ג', שכ' ד'.
How do I claim Tenant Rights in Demolish-Rebuild (Pinui-Binui) Projects in Arad?
Apply via the Government Housing Authority website or the local Ministry of Construction office in Arad. For support: ENP.
What community support is available in Arad for this right?
In Arad, the following organisations can assist with paperwork, translation and entitlement: ENP.