You’re asking about one of the most sought-after property types in Jerusalem’s most prestigious neighborhood. The demand for new, small apartments in Rechavia consistently outstrips the incredibly scarce supply. Large-scale “projects” are almost nonexistent here due to strict preservation laws. Instead, we see boutique buildings, often with just a handful of units. The availability of a 2-room apartment (1 bedroom + living room) in such a new development is a rare event.
What is the reality of “projects” in Rechavia?
Let’s clarify what a “project” means in this context. You will not find massive high-rise developments in Rechavia. Instead, new construction is typically limited to:
- TAMA 38/2 (Demolition and Rebuild): The most common form, where an old, small building is demolished and replaced with a modern, slightly larger boutique building of 6-10 apartments.
- Boutique Luxury Buildings: On rare occasions, a vacant plot or a non-historic building is replaced by a high-end, architect-designed project.
These projects often sell out “off-market” before they are ever publicly advertised. A developer will quietly offer the units to a list of interested buyers and real estate agents specializing in the area.
Is there a 2-room apartment currently available?
As of today, in the very limited number of new boutique projects currently under construction in Rechavia, the 2-room apartments were the first to be sold. They are typically purchased immediately upon release by investors or individuals looking for a pied-à-terre in the heart of Jerusalem.
However, we do have access to a unique opportunity through a resale: An investor who purchased a 2-room apartment in a project on a quiet side street, scheduled for completion in 18 months, is now looking to sell the contract. This is a chance to acquire a brand-new unit that is technically “sold out.”
What is the price for such an apartment?
The price for a new 2-room apartment in Rechavia reflects its extreme rarity and high demand. You are paying a massive premium for the combination of “new” and “Rechavia.”
- The Apartment: The unit is approximately 55 square meters with a 6-square-meter balcony. It is being built to the highest specifications, including an elevator, private parking (a huge asset in this neighborhood), and a Mamad (secure room).
- The Price: The asking price for this contract resale is 3,400,000 NIS.
This price point may seem high on a per-square-meter basis, but it is the established market rate for this specific, highly desirable asset class. A second-hand, renovated 2-room apartment in an old building without these amenities would sell for around 2.7M-2.9M NIS. The 500,000 NIS premium here is for the trifecta of being brand new, having an elevator, and including private parking.
Too Long; Didn’t Read
- New, large-scale “projects” are not built in Rechavia; new construction is limited to small, exclusive boutique buildings that sell out quickly.
- The 2-room (1BR) apartments are always the first units to be sold in these projects.
- While officially sold out, there is currently a rare “contract resale” opportunity for a 2-room apartment in a new project.
- The price is 3,400,000 NIS for a ~55 sq m unit with a balcony, elevator, and private parking, reflecting the high premium for new construction in this historic neighborhood.
