A study conducted by CBRE Israel under the direction of Jackie Mukamel, the results of which reached Maariv, shows that office rental prices recovered in January and February. This is also evident in the share prices of real estate companies, such as Amot, which published the reports in recent days. Due to the corona crisis, rental prices fell by 4% – 12%. To NIS 97 per square meter, but this is a spot recovery.
For example, in early 2021, Bnei Brak and Petah Tikva will also suffer a 4% drop in prices due to the large number of projects by purchasing groups and high competition.
Prices there are NIS 50 per square meter, compared to NIS 55-60 per square meter until a year ago. The decline in activity is explained by uncertainty in the market, which added to the slowdown and falling prices. However, as mentioned, since the beginning of 2021, the demand for offices has been rising and there have been moderate increases in rental prices.
In Ramat Gan, Herzliya, Raanana and Haifa, stability was maintained. Along with the recovery in office rental prices, there has been a decline in rental prices for private apartments, especially in the Tel Aviv area. The main reason for this is that the corona crisis drove young people who went abroad to return to their parents’ apartments. Mukamel said: