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Israel's Rental Market Stalled: New Fund Offers Hope

1/5/2026

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Story summary
  • Israel has pursued a long-term rental market for over a decade, but progress is stalled by financing issues.
  • Developers face high equity requirements and low rental yields, making projects economically unviable.
  • Only a few thousand rental units have been built from tens of thousands marketed.
  • Michlol Financing established a 400 million NIS fund to bridge the financing gap and support developers.
  • The fund underscores the need for a stable financial infrastructure.