In short
What does a lawyer do for the residents in Pinui Binui or TAMA 38?
The lawyer represents the apartment owners against the developer: vetting the developer and the offer, negotiating the consideration, guarantees and timetable, and drafting the agreement. The residents' lawyer should be independent of the developer, even when the developer pays the legal fees.
Why Apartment Owners Need Their Own Lawyer
In an urban renewal project, the apartment owners sign an agreement that binds them for years. Their lawyer should represent them alone, not the developer, and should vet the developer before anyone signs: past projects, financial strength and bank financing for the project (livui bankai).
What to Check in the Agreement with the Developer
What each apartment receives: additional floor space, a safe room (mamad), a balcony and parking. The security package: a bank guarantee, a Sale Law guarantee (arvut chok mecher) and insurance. Timetables and compensation for delays. Rent during construction. And what happens if the developer fails to obtain a permit or stalls midway.
In many projects, the fees of the apartment owners' lawyer are paid by the developer, under an agreement signed in advance.
When an Owner Objects
In pinui binui (evacuation and reconstruction), the law allows a claim against an owner who refuses the deal without reasonable grounds, once a sufficient majority of the owners has signed. That is why it is wise to get advice before refusing, and also before signing.
What the service includes
- Comparing offers and choosing a developer
- Negotiating the agreement and the security package
- Representing the apartment owners' committee
- Support through to delivery of the new apartments
When to contact us
- A developer has approached the owners in your building
- You have several offers and want to compare them
- You received a draft agreement to sign
- The project is stuck or delayed
What to bring to the meeting
- Land Registry (Tabu) extract for the apartment
- The developer's offers or draft agreement
- The condominium (bayit meshutaf) plan and building details
- Minutes of residents' meetings
Urban Renewal throughout Israel
The firm represents clients from all over Israel: Jerusalem and the Shfela, Be'er Sheva, Ashdod and Ashkelon, Haifa and the North, the Sharon and Gush Dan. Meetings take place at our two Modiin branches, at the WE Towers branch in Tel Aviv or by video call, and documents can be sent in advance on WhatsApp. We represent clients in the courts, the Labor Courts and before planning committees throughout Israel. How we work with clients across Israel.
Frequently asked questions
Who pays the fees of the apartment owners' lawyer?
In many projects the developer pays them, under an agreement signed in advance. The lawyer must represent only the apartment owners, even when the developer is paying.
How is strengthening and adding floors different from pinui binui?
With strengthening and adding floors, the existing building stays, and safe rooms and extra floors are added to it. In pinui binui, one or more buildings are demolished and a new project is built in their place under a zoning plan.
Do all the apartment owners have to agree?
Not always. The law sets a special majority for each type of project and allows action against an owner who refuses without reasonable grounds. Find out what majority your project requires.
Where do we live during construction?
In pinui binui, the developer usually pays rent for the construction period under the agreement. The amount of rent, the security for it and the length of the period are set in negotiations.
