Ritz Carlton in Herzliya now fetches $15,000 per sqm

Foreign residents bought three apartments in the Ritz Carlton hotel and residential project at the Herzliya Marina for NIS 19.8 million. The project is being built by Tidhar Ltd. and Adis Investments Ltd.

A Swiss businessman bought a 141-square meter apartment with a 15-square meter balcony on the project's ninth floor for NIS 8.2 million, at a record price of NIS 58,000 per square meter. A Swiss family bought a 138-square meter duplex with a 40-square meter balcony on the project's ninth and tenth floor for NIS 7.8 million which represents NIS 56,500 per square meter. And an American doctor bought an 85-square meter apartment with a 10-square meter balcony on the seventh floor for NIS 3.8 million or NIS 44,700 per square meter. But under the sale terms, the buyers may reside in the apartments for only six months per year, the apartments being used as hotel suites for rest of the year.

The Herzliya Ritz Carlton is due to open in mid-2013. The 12-storey hotel will have 15 ballrooms on the lower six floors and 82 recreation apartments on the upper six floors.

Source Globes

BOI reduces rates, cites inflation concerns

The Bank of Israel decided to reduce interest rates by 0.25% as economists of the Bank of Israel predict that prices in Israel will continue to increase until April 2013 by around 2.4%. This forecast also predicts that the price of rentals will increase even more.

The Bank of Israel believes that a further reduction is not necessary at this point and that the growth rate of the economy will reach 3.1% in 2012 and 3.4% in 2013. Slower growth is expected to result in reductions in imports, exports, investments and private consumption and is due to the debt crisis in Europe as well as the global economic downturn. However, the Bank of Israel believes that unemployment will continue to fall, in spite of that slowing growth.

The inflation rate continues to be above the target midpoint set by the government (2%) and forecasts of the Bank of Israel also indicate that the cost of rent which is the largest household expenditure in Israel (24%) continues to grow at a rate higher than the average inflation rate.

On the other hand, the bank noted that the debt crisis in Europe has decreased demand for oil and gas in the world. Therefore their price should continue to fall and help contain inflation.

Source Credit Israel

Gay Pride reaffirms Israel exception in the region

Tens of thousands of people turned out today for Israel's annual gay pride parade, dancing in the streets of Tel Aviv and waving rainbow-coloured flags. Tel Aviv's gay pride, in its 14th year, is such an established tradition that diplomatic delegations send representatives as if the pageant were its own nation: a multi-colored, laughing enclave within the greater, beachside city. An alternate Vatican. Israeli soldiers marched alongside Arabs from Jaffa and Nazareth on Friday. Politicians of all stripes, right to left — from former Kadima Party leader Tsippi Livni to Labor Party head Shelly Yachimovich — gave speeches to the cheerful crowd of over 30,000 people.

American ambassador Dan Shapiro presented himself adorned with a rainbow flag pin on his shirt and, addressing the crowd in Hebrew, said "today is a day of celebration and joy. Gay rights are human rights and human rights are gay rights." Shapiro also underscored "efforts being made" by the Obama administration to rectify injustices against gay men and women in the United States. Homosexuals have always been drafted into the Israeli army, and to the surprise of many conservative American tourists to the Holy Land, neither gay rights nor abortion are sources of contention or controversy in Israel, where the overriding urgency of the country's geo-political problems rules the debate.

The issue of gay rights has on occasion raised hackles in meetings between Americans and Israelis, most notably before the State Department revised its policy on same sex partners of American diplomats. On one occasion, a number of years ago, the Israeli army officer assigned to coordinate security arrangements in the West Bank with an American diplomat burst out in frustration, blurting, "Who are you to come and tell us how we should do things? You think you know everything? You're the one who comes from a country that prevents you from living openly with your boyfriend!" Both, as it happened, were gay.

This year, thousands of tourists participated in the Tel Aviv march, many of them destination gay travelers drawn by Tel Aviv's reputation for liberality and beach night life. Adir Steiner, Tel Aviv City Hall's coordinator for the march, said the Gay Cities poll this year that selected Tel Aviv as the best gay-friendly destination "is a testament to the friendly reception gay tourists can expect in Tel Aviv." Businesses lining the streets of the parade displayed rainbow flags, and cafés put out stands selling takeout coffee to participants. Amer Dacca, 30, from Jaffa, Tel Aviv, said the march was "Fabulous. Wonderful. Amazing. A great, great march, full of color, music and the feeling of freedom. Freedom and safety." "Here, it doesn't matter if you are African-American, Mexican, Arab, Jew, whatever. The only thing that matters is who you are as a human being, as an individual who is outside in the sun, with the music and all the other people, as yourself."

Upscale flat sold for $6m in Jaffa

A five bedroom flat with a size of ​​430sqm was sold for just under $6m in the Andromeda project in Jaffa. The property includes a 150sqm terrace, four underground parkings and a store room. It is located on the fourth floor of the last building and was sold for NIS 22.8m, making it the most expensive flat sold so far in the project.

The flat was owned by a non-resident French family and the new owner is also a non-resident French national. The property was sold with all of its content and is therefore ready to live in. The seller was able to obtain such a high price because of the exceptional size of the property: it was originally 3 separate flats which were united by the original purchaser during the construction stage of the complex.

This transaction continues to show that Jaffa is indeed the place to be when it comes to prime real-estate. With a price of $14,000 per square meter, that makes it on par with some of the best neighborhoods in Tel Aviv.

Source The Marker