TeLaVivi
October 27th, 2004, 12:31 PM
Judge Shamgar: Azrieli will pay Tel Aviv municipality $6m
The dispute was sent to arbitration three years ago. The parties agreed to a betterment levy between $6-14 million. Azrieli can now build the Square Tower.
Guy Yamin 26 Oct 04 19:25
Former Supreme Court Justice Meir Shamgar today gave a ruling in the arbitration case between David Azrieli and the Tel Aviv municipality over payment to the municipality for changes in the original Urban Building Plan (UBP) for the Azrieli Towers.
Under an earlier agreement with the municipality, Azrieli could continue construction of the third tower in the complex (the Square Tower), in exchange for vacating 50,000 sq.m. of residential space in the city currently occupied by businesses. Azrieli claimed that he tried but failed to fulfill the agreement. The municipality therefore demanded a $52 million betterment levy for the building rights.
The dispute was sent to arbitration under Justice Shamgar three years ago. The parties agreed to a betterment charge between $6-14 million. Shamgar today ruled that Azrieli would pay a $6 million betterment levy, the lowest amount Azrieli could have expected.
Shamgar's ruling enables Azrieli to obtain a building permit for the Square Tower from the Tel Aviv District Planning and Building Commission, without any interference from the municipality.
The entire project has building rights for 150,000 sq.m. of main space, including 127,000 sq.m. of built space, which gives Azrieli an extra 27,000 sq.m. for offices, a hotel, or residences. However, it is unclear when he will utilize the building permit.
Published by Globes [online] - www.globes.co.il - on October 26, 2004
Model \/
http://img40.exs.cx/img40/3083/ac4.jpg
The dispute was sent to arbitration three years ago. The parties agreed to a betterment levy between $6-14 million. Azrieli can now build the Square Tower.
Guy Yamin 26 Oct 04 19:25
Former Supreme Court Justice Meir Shamgar today gave a ruling in the arbitration case between David Azrieli and the Tel Aviv municipality over payment to the municipality for changes in the original Urban Building Plan (UBP) for the Azrieli Towers.
Under an earlier agreement with the municipality, Azrieli could continue construction of the third tower in the complex (the Square Tower), in exchange for vacating 50,000 sq.m. of residential space in the city currently occupied by businesses. Azrieli claimed that he tried but failed to fulfill the agreement. The municipality therefore demanded a $52 million betterment levy for the building rights.
The dispute was sent to arbitration under Justice Shamgar three years ago. The parties agreed to a betterment charge between $6-14 million. Shamgar today ruled that Azrieli would pay a $6 million betterment levy, the lowest amount Azrieli could have expected.
Shamgar's ruling enables Azrieli to obtain a building permit for the Square Tower from the Tel Aviv District Planning and Building Commission, without any interference from the municipality.
The entire project has building rights for 150,000 sq.m. of main space, including 127,000 sq.m. of built space, which gives Azrieli an extra 27,000 sq.m. for offices, a hotel, or residences. However, it is unclear when he will utilize the building permit.
Published by Globes [online] - www.globes.co.il - on October 26, 2004
Model \/
http://img40.exs.cx/img40/3083/ac4.jpg