The Hezkiya Project

Group purchase opportunity:

The concept of group purchases is very popular today in Israel as it enables considerable tax savings and low construction costs.

The group actually buys the land from the owner , and appoints a professional  project manager to  manage the  whole project for the group .

Banks give very generous credit lines to groups, usually 60% of the total future value of the finished apartment,  or 70% of the actual costs (land + construction) .

The financing deal with the bank enables all of the individuals to be safe knowing that there are enough funds available  to complete the project. The bank makes it mandatory for each of the individuals to have an approved credit line whether he needs it or not.  The individuals may use the credit or use their own equity, however, the credit line must be approved. This means that the projects starts with ALL the funds necessary for it's completion. 

We divided the cost  of the land  to  each of the units. The calculation  is based on the size of the apartments.

According to our financial calculation – (see attached Excell seet) the total costs including soft costs  until completion are  approximately  $6,900/m.

The bank will monitor the payments and the use of the proceeds by relying on  it's own supervising engineer.

The group will appoint a lawyer to serve as their representative .

The lawyer will l hold the funds for the construction in closed trust accounts for the group and will release the funds against progress of the construction  based on the group's  supervisor's  approval and the bank's supervisor's approval. 

Please download the plans on the Dowload page