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Tenant Rights in Demolish-Rebuild (Pinui-Binui) Projects in Kiryat Ata
Apartment owners in pinui-binui projects are entitled to a larger new apartment, rental compensation during construction, and capital-gains tax exemption.
About Kiryat Ata
Kiryat Ata, a city in the Haifa metropolitan area, is home to an Israeli-Ethiopian community spread across several neighbourhoods. Its proximity to Haifa and major employment centres makes it an attractive option for those seeking housing at a lower cost than Haifa.
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): 1-800-20-20-16
About Kiryat Ata
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