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Tenant Rights in Demolish-Rebuild (Pinui-Binui) Projects in Eilat
Apartment owners in pinui-binui projects are entitled to a larger new apartment, rental compensation during construction, and capital-gains tax exemption.
About Eilat
Eilat, the southern port city on the Red Sea, hosts a small Israeli-Ethiopian community with a presence in the hospitality and services sectors. Eilat's real-estate market is unique in its VAT exemption on property purchases, attracting investors and buyers from across the country.
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
- Never sign any document before consulting an independent lawyer
- Confirm the new apartment includes: parking, storage room, safe room (mamad)
- Verify the project is registered at ir.gov.il
📞 Urban Renewal Authority: 03-7385777 | Tebeka (free legal): 072-2424622
Ethiopian community in Eilat
- Community population
- ~1,500
- Share of city
- ~3%
- Main neighbourhoods
- מרכז, צפון אילת
- Community services
- ENP
More rights in Eilat
This right in other cities
FAQ — Eilat
- How many Ethiopian-Israelis live in Eilat?
- The Ethiopian-Israeli community in Eilat numbers approximately ~1,500 residents — around ~3% of the city's population. Main neighbourhoods: מרכז, צפון אילת.
- How do I claim Tenant Rights in Demolish-Rebuild (Pinui-Binui) Projects in Eilat?
- Apply via the Government Housing Authority website or the local Ministry of Construction office in Eilat. For support: ENP.
- What community support is available in Eilat for this right?
- In Eilat, the following organisations can assist with paperwork, translation and entitlement: ENP.
Related rights
Land Registry (Tabo) — Guide for the Ethiopian-Israeli Community
Registering property in the Tabo (Land Registry) is the only way to legally protect your ownership. Guide to the process, costs, and common issues for Ethiopian-Israelis.
Urban Renewal — Kiryat Moshe (Rehovot)
Urban renewal program in Kiryat Moshe (Rehovot) — one of 5 priority neighborhoods for the community. Residents receive a new apartment under evacuation-rebuild or TAMA 38 agreement.
Urban Renewal — Netanya (Dora / Ramat Yadin / Neot Shaked)
Evacuation-rebuild in three Netanya neighborhoods: Dora (=Ramat Yadin), Neot Shaked, and Kiryat Nordau. Priority areas. Netanya hosts the largest veteran Ethiopian community.
Urban Renewal — Ramat Eliyahu (Rishon LeZion)
Evacuation-rebuild program in Ramat Eliyahu (Rishon LeZion) — one of 5 priority neighborhoods for the Ethiopian community. Residents receive a new apartment.