Tama 38 Projects: Boosting Israel’s Real Estate

What was TAMA 38?

TAMA 38 was a national plan, introduced in 2005 after Israel realized many older buildings weren’t prepared for earthquakes, designed to reinforce buildings constructed before 1980. The idea was simple: a developer paid for the work and homeowners got a safer building, with no direct construction cost to them under the usual agreement.

The framework encouraged strengthening and, through its different routes, redevelopment of qualifying buildings. The rights and feasibility depended on the building, planning rules and approvals. Owners considered the following potential benefits:

• Strengthened buildings able to withstand earthquakes.
• No direct construction costs to homeowners under the usual agreement, because developers paid for the works. Owners still share the running costs of what was added, such as a new elevator.
• Increased property values thanks to added amenities and safer construction.

What is the difference between TAMA 38/1 and TAMA 38/2?

TAMA 38/1 reinforced the existing building, while TAMA 38/2 demolished it and built a new one. The plan ran on these two tracks; the demolish-and-rebuild track is still a single-building scheme and is not Pinui Binui, which rebuilds a whole complex. For the standalone programme, see our Pinui Binui guide.

TAMA 38/1: reinforce and refresh

• The building gets structural reinforcement to handle earthquakes.
• Typical bonuses were safe rooms (MAMADs), balconies, elevators, and sometimes extra space.
• Residents usually stay home during the works.

TAMA 38/2: demolish and rebuild

• The old building is demolished entirely.
• A modern structure goes up with extra floors and amenities.
• Residents relocate temporarily and return to newer, larger homes.

How did TAMA 38 work?

TAMA 38 (תמ”א 38, a national outline plan) let a building get a permit to strengthen itself, or to be demolished and rebuilt, without first preparing a detailed zoning plan (taba). The local planning and building committee still had to approve the building rights, but no plan change was needed, so a single-building project usually took less time than Pinui Binui. Developers took part because the extra flats they could build and sell paid for the works.

According to the Government Authority for Urban Renewal, a building qualified if its building permit was issued before 1980 and it did not meet Israeli Standard 413 (תקן 413, teken 413) for earthquake resistance. The project also had to make economic sense for a developer, so an eligible building could still fail to attract one.

Who had to agree, and what happened to owners who refused?

Consent is governed by the Land Law (Strengthening Joint Houses against Earthquakes), 2008, usually called the Strengthening Law. Building new flats on a shared building normally needs every owner’s agreement. Under section 5 of the law, if some owners refuse, the others can sue before the Superintendent of Land Registration (המפקח על רישום המקרקעין, ha-mefakeach al rishum mekarke’in), as long as they are owners of two-thirds of the flats, with two-thirds of the common property attached to their flats. The Superintendent can approve the work after giving every owner a chance to argue their case and, where that’s justified, appoint a lawyer or accountant who isn’t an owner in the building to sign with the developer on behalf of all the owners. Each owner’s consent has to be given in writing and verified by a lawyer.

Demolition and rebuilding (38/2) has its own threshold in section 5A of the same law, and that section has been amended over the years, so confirm the current figure with a real-estate lawyer before you count signatures. In either track, once owners bring such a claim, the Superintendent can ask the head of the Government Authority for Urban Renewal to appoint an appraiser from its Pinui Binui appraisers’ list.

Did TAMA 38 work?

It delivered a lot, but it was not without problems. The same projects that lifted values also exposed the growing pains of fast development.

What it delivered

• Property values jumped, especially in sought-after cities like Tel Aviv and Jerusalem.
• Neighborhoods became safer and more attractive to new residents.
• Developers benefited from strong incentives, which created busy urban renewal hubs.

Where it fell short

• Regional inequalities: projects were heavily concentrated in high-value central areas, leaving peripheral regions behind.
• Infrastructure overload: rapid construction meant overcrowded schools, limited parking, and strained public services.
• Urban planning headaches: municipalities struggled to fit new construction into citywide development strategies.

Two features of the plan help explain that strain. Urban renewal projects can get a partial or full exemption, under conditions, from the betterment levy (היטל השבחה, hetel hashbacha), the charge a city normally collects when a plan raises the value of a property, so a city could take on new residents while collecting less levy. And unlike Pinui Binui, which plans a whole area with public buildings, open space and roads, a single TAMA 38 building came with no public facilities of its own.

It wasn’t flawless, but it changed the Israeli skyline for good.

When did TAMA 38 end, and what are the transition rules?

The National Planning Council’s January 2024 decision describes a general expiry with defined local exceptions and conditional extensions. It does not support a nationwide October 2022 cutoff or one August 2024 end date for every building. Later decisions, the local replacement plan and transitional treatment of an existing application must be checked with the responsible planning authority.

What happened in Tel Aviv?

For Tel Aviv, check the exact parcel, current statutory plan and permit file. A municipal replacement-plan proposal or deposit discussion is not proof of final approval, and a change in framework validity does not show that every existing project stopped. Ask which provision governs the actual application and what approval is still required.

Parts of the city also work under their own detailed rules: the quarter plans (תוכניות הרובעים, tochniyot ha-rova’im) for the Old North and New North set what can be built street by street. Our guide to Tel Aviv quarter plans 3 and 4 explains them.

What replaced TAMA 38?

Locally tailored urban renewal plans, set city by city, are being prepared to replace it. Pinui Binui (demolish and rebuild) initiatives are still active and can offer good opportunities. Cities are actively crafting new strategies, which may fit local needs better than one national rule did. You can read how the two programmes compare in how TAMA 38 and Pinui Binui affect property values.

How cities replace TAMA 38: section 23 plans

Section 23 (סעיף 23) of TAMA 38 lets a local authority add to, remove or change the plan’s provisions through detailed plans suited to its own area, approved by the district planning committee. In March 2026 the Government Authority for Urban Renewal said it was funding replacement plans in 19 cities, to keep single-building renewal going outside large Pinui Binui compounds.

Petah Tikva shows what such a plan does. On 20 January 2026 the Central District Planning and Building Committee decided to give validity (final approval) to a citywide plan initiated by the Authority and the municipality under section 23. The city has about 2,500 buildings that need earthquake strengthening, holding about 35,000 homes. The plan allows either strengthening with added floors or demolition and rebuilding, and sets building rights by zone: metropolitan main streets, urban main streets, and areas B and C of the city. It asks for shops or public uses at street level on main streets and opens new public walkways. Its target is about 11,000 new homes, subject to the capacity of public spaces. The committee chair said it replaces TAMA 38 for buildings that are not part of a compound renewal plan, and the Authority said it favours compound renewal while giving more certainty to permits for a single plot. If you’re looking at the city as a buyer, see buying urban renewal apartments in Petah Tikva.

Ashdod followed. On 23 April 2026 the Southern District Planning and Building Committee approved the city’s plan, a detailed plan under which building permits can be issued. It allows up to about 7,400 new homes at this stage, out of about 22,500 that the planners identified as possible. It has three permit tracks (demolish and rebuild, strengthen and add, and a protection track that adds safe rooms), and it also applies to buildings built after 1984. At that point the Authority counted 9 approved city plans of this kind. Nahariya’s plan goes further and also sets Pinui Binui compounds, as our report on the Nahariya master plan describes.

Nahariya’s figures show what a citywide plan can hold. Under the plan the Northern District Committee approved for validity after hearing objections (reported 5 March 2026), about 20,000 homes in about 6,000 buildings can be renewed, and about 29,500 homes can be added on top. Of these, about 7,000 homes come through single-building renewal that can get a permit straight from the plan, by strengthening and adding or by demolishing and rebuilding. The remaining 22,500 homes or so sit in Pinui Binui compounds, whose plans the local committee can now approve on its own, without the district committee. Unlike TAMA 38, the plan can also, under certain conditions, renew buildings built after 1980. There’s a brake, though: under the plan’s capacity annex (נספח קיבולות, nispach kibolot), permits can go ahead at once for 4,000 homes on existing infrastructure, and after that the local committee has to show that suitable infrastructure has been advanced.

Haifa’s plan, Haifa/2666 (חפ/2666), is the one the Authority’s senior planning director called the largest and most complex building-renewal plan in Israel. In April 2026 the Haifa District Planning and Building Committee decided to deposit it for objections. It applies to buildings built before 1984 that need strengthening, offers demolish-and-rebuild or strengthen-and-add tracks, and sets a potential of about 30,000 homes, all new and built with safe rooms. It divides the city into 10 planning areas so each keeps its character: shop frontages and sea views along the coast in Bat Galim, extra density for student housing in Neve Sha’anan and Sha’ar HaTechnion, and intensive mixed use along the ridge. Buildings listed for conservation are left out, stricter rules apply in the German Colony, Hadar and the Carmel, and a single “comprehensive rights basket” is meant to shorten permitting. Our news report on Haifa’s renewal plan follows it into the objections stage.

The rules differ from city to city, so check the plan that replaced TAMA 38 in your city before you rely on an old permit, a developer’s promise or a listing’s renewal claim. The municipal engineering department or the local planning committee can tell you which plan, zone and track apply to a specific address and, where a plan limits permits by infrastructure capacity as Nahariya’s does, whether that limit has been reached.

What should an owner or buyer in a TAMA 38 building do now?

Find out exactly where your project stands, then get professional advice before you decide. A practical order:

• Check your city’s plans. Follow municipal announcements, because new urban renewal programs are rolling out.
• Consult an expert. Lawyers, planners, or seasoned developers can guide you through the programs that exist now.
• Look at the risks before you sign. Our guides on TAMA 38 and Pinui Binui risk and the buyer risk check list what to verify. If you plan to sell, read selling an urban renewal property.
• Explore alternative programs. Pinui Binui projects are still moving.

Buying or selling a flat in an older building? Send us the address through our contact page and we’ll help you weigh the price against where the building really stands on renewal.

Why does TAMA 38 still matter after its end?

Its legacy outlived the programme. TAMA 38 changed how Israelis view urban safety, property value, and community resilience, and it started real conversations about earthquake preparedness, balanced development, and equitable growth.

As one Tel Aviv urban renewal veteran said to me recently, “TAMA 38 might be over, but it’s left behind smarter, safer cities. We’re only getting started.”

TAMA 38 in five points

• TAMA 38 provided routes for qualifying older buildings; check the actual strengthening or redevelopment outcome for each project.
• Homeowners usually paid no construction costs, though running costs rise once there is an elevator or parking to maintain.
• Challenges included unequal distribution and overloaded infrastructure.
• Local expiry, extensions, replacement plans and existing applications require a building-specific planning check.
• Stay proactive: consult experts, track city plans, and look at ongoing initiatives like Pinui Binui. For more reading, see the Semerenko Group blog.

Frequently asked questions

Is TAMA 38 still available?

Check the current route for your local planning area and the status of any application already filed. Former national dates do not by themselves determine a new application, an existing permit or a replacement-plan route. Obtain the authority’s written position for the actual building.

How does TAMA 38 differ from Pinui Binui?

TAMA 38/1 reinforced a single existing building, while TAMA 38/2 demolished and rebuilt it. Pinui Binui is the demolish-and-rebuild programme that is still active.

What happened to TAMA 38 in Tel Aviv?

Check Tel Aviv’s current plan record and the specific permit application. Do not infer that every existing project stalled or that a proposed replacement plan is already in force. The building’s location, filing history and applicable transitional provisions matter.

Did homeowners pay for TAMA 38?

Not for the construction, under the usual agreement: the developer paid for the works and, in demolish-and-rebuild projects, usually for the owners’ rent during construction. Owners do share the running costs of what was added, such as an elevator or parking.

Which buildings qualified for TAMA 38?

Buildings whose permit was issued before 1980 and that do not meet Israeli Standard 413 for earthquake resistance, provided the project made economic sense for a developer. Some city replacement plans now reach later buildings too.

Can I still buy an apartment in a TAMA 38 building?

Yes, but check the project’s real status first, because ongoing projects may have stalled. Our buyer risk check lists what to verify before you sign.

Related pages

• Urban renewal in Israel
• Pinui Binui
• TAMA 38 and Pinui Binui risk
• Selling an urban renewal property
• Urban renewal buyer risk check

This is general information, not legal or tax advice; confirm with a licensed professional.