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Monday, December 3, 2012
Tourism Ministry: New Hotel to be Built in Ashkelon; Hotels to be Restored and Converted in Jerusalem, Ashkelon, Acre, Haifa, Nahariya, Kfar Horesh, Tiberias and Kibbutz Ein Gev

3 December 2012

NEW HOTEL TO BE BUILT IN ASHKELON:

IMMEDIATELY AFTER OPERATION PILLAR OF DEFENSE, THE TOURISM MINISTRY APPROVES
GRANT ALLOCATION FOR THE CONSTRUCTION OF A NEW HOTEL ON THE SITE OF AN
ABANDONED BUILDING ON THE SEASHORE.

THE APPROVAL WAS GIVEN WITHIN THE FRAMEWORK OF THE GRANT REQUESTS SUBMITED
TO THE INVESTMENTS ADMINISTRATION IN THE TOURISM MINISTRY FOR THE CONVERSION
OF 13 HOTELS THAT WILL ADD ANOTHER 470 NEW HOTEL ROOMS AT AN OVERALL
INVESTMENT OF ABOUT NIS 153 MILLION. ANOTHER PROJECT: CONVERSION OF THE
CASINO BUILDING IN HAIFA TO A HOTEL

TOURISM MINISTER STAS MISEZHNIKOV: “THE TOURISM MINISTRY ATTACHES GREAT
IMPORTANCE TO THE DEVELOPMENT AND REHABILITATION OF TOURISM IN THE AREAS IN
THE SOUTH AFFECTED BY THE RECENT HOSTILITIES. CONVERTING BUILDINGS INTO
HOTELS IS THE IMPLEMENTATION OF THE MINISTRY’S POLICY OF EXPANDING THE HOTEL
SUPPLY IN ORDER TO CREATE COMPETITION THAT WILL LEAD TO LOWER VACATION COSTS
IN ISRAEL. THIS IS IN ACCORDANCE WITH THE RECOMMENDATIONS OF THE COMMITTEE
RECENTLY APPROVED BY THE GOVERNMENT.’

The Tourism Ministry is continuing to expand the hotel supply in Israel.
The Investments Administration in the Tourism Ministry recently approved 13
grant requests to restore and convert 13 hotels in Jerusalem, Ashkelon,
Acre, Haifa, Nahariya, Kfar Horesh, Tiberias and Kibbutz Ein Gev. This will
add another 470 rooms to the existing hotel supply in Israel. The overall
cost of the investment: about NIS 153 million. The total amount of the
grants allocated: NIS 34.5 million. During 2012, the Investments
Administration approved grants of about NIS 200 million.

A new hotel will be built in Ashkelon – after a return to routine in the
South and a hiatus of many years in hotel construction. The hotel will be
built on an abandoned building on the seashore that served as a hotel
decades ago. The entrepreneur will invest NIS 15 million in building a 50
room hotel. The expansion of the hotel by 100 rooms in an adjacent hotel is
already in the planning stage.

The Casino building in Haifa will be converted into an A-standard hotel with
54 rooms, at a cost of NIS 21 million. The Casino building operated mainly
in the 1930s as the entertainment and leisure center for residents of the
Bat Galim neighborhood.

The Investments Administration also approved a grant for converting 64 rooms
in the holiday village near Kfar Horesh and Nazareth, which extends over 40
dunams, at an investment of over NIS 31 million. A total of 85 holiday units
are scheduled to be built in the village (including 10 suites), which
already offers spa facilities.

In Jerusalem and Tiberias, cities which are eligible for grants of up to 28%
of the overall investment, six grant allocations received approval, with a
combined overall investment of more than NIS 47 million. Among the projects:
conversion of the Leonardo Hotel near the Quiet Beach in Tiberias;
conversion of a kindergarten in the YMCA on King David Street in Jerusalem
to 21 guest rooms and their annexation to the Three Arches Hotel that
operates within the building and the addition of another 47 guest rooms in
the Strand Hotel in East Jerusalem following the conversion of office space
at an investment of about NIS 12 million.

The hotel supply is also increasing in the western Galilee, with the
approval of the addition of 17 rooms in a conversion of a building reserved
for an A standard hotel in the Old City of Acre. In Nahariya, a grant for
converting the Sol Marine Hotel with 40 suites (A-standard) at an investment
of NIS 17 million was approved.
__________

Lydia Weitzman
Foreign Press Adviser to the Ministry of Tourism
052-3584395
israeltourismministry@gmail.com

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