Following a High Court ruling, the Defense Ministry decided two weeks ago to hand over to the residents of the West Bank village of Bilin 185 acres which they claimed had been expropriated from them, a move leading to a possible new route separation fence route.
The direct result of the ministry's decision is that a project including 1,100 housing units for the ultra-Orthodox public in Modiin Illit's Matityahu neighborhood is slated to be canceled.
"This may worsen the housing shortage in the haredi sector, which has yet to receive a constitutional response," says Dr. Rina Degani, research director and managing director at Geocartography, which recently examined the situation of the haredi housing market.
According to the findings of a Geocartography survey, the growth rate in the haredi sector creates a fixed demand for some 6,500 housing deals a year – about 6.5% of all deals in the residential real estate field carried out in the past two years.
Modiin illit has some 40,000 residents due to the comfortable housing prices and the communal fabric, which meets the target audience's demands.
According to a study carried out by Geocartography's economic division, the demand for apartments in the haredi sector requires the construction of at least 4,000 new flats every year, in addition to some 2,500 second-hand apartments. [...]