How does the investment process work?
Once you make a 10% down payment, the property goes through a sale approval process, which can take time. Once approved, the land is rezoned from agricultural to residential use, increasing its value. Investors typically enter into a deal with a developer, where the developer finances and manages the construction of the property, and the investors receive 30% of the completed development.

What happens if the property transaction fails to receive final approval?
If a transaction does not receive approval, you have two options:

• Transfer your down payment to another property in the current offering.
• Receive a 75% refund of your down payment.

What kind of returns can I expect from my investment?
Returns can vary depending on the investment strategy chosen. In general, returns range from 100% to over 3,900%. For example, an investor who purchases land and sells it after final approval could see a return of 100% to 133%. An investor who receives fully constructed apartments as part of the development could achieve a return of 620%. The highest potential returns occur when leveraging a smaller initial investment to secure a larger stake in the development, which can yield returns as high as 3,960%.

How is a 3,960% return possible?!
A 3,960% return is possible by using a 150,000 NIS down payment to secure a 1,500,000 NIS investment in land. The investor then uses 45% of the holding to cover the final 90% payment, allowing them to acquire 55% ownership of the investment. This strategy leverages the appreciation in land value after approval and provides the investor with ownership of fully constructed apartments, ultimately leading to a substantial return on their initial 150,000 NIS investment.

How does the “30% of apartments” option work?
Once a transaction is approved, and the land is rezoned from agricultural zoning to residential zoning, investors typically enter into a deal with a developer, where the developer finances and manages the construction of the property, and the investors receive 30% of the completed development.

What are the risks involved in this investment?
Some risks include legal challenges, foreign political pressure, and the small possibility of the transaction not being approved. These factors contribute to the overall risk of investing in non-Jewish land transactions. However, Artzeinu works with a Christian Arab partner to source and vet each property and has a proven method to minimize some of these risks.

How can I mitigate risk when investing?
To minimize risk, investors can diversify by spreading their investment across multiple properties. This increases the likelihood that at least one property will succeed, reducing the overall risk of failure.

What legal protections are in place?
While these transactions are not governed by Israeli consumer real estate laws, Artzeinu facilitates deals with trusted, well-vetted sellers. All transactions are secured through contracts with the sale facilitators.

Can I use this investment opportunity to secure a family estate in Israel?
Yes, this investment opportunity can be used to secure a private family estate in Israel. However, the investor would need to be the sole investor in the entire property.

What options are available for luxury developments?
If the development is financed by the developer, the family would need to negotiate the terms and secure zoning approval. However, if the family chooses to self-finance the development, they have the freedom to build according to their vision, as long as they secure the necessary zoning approval.

How does the developer partnership work?
In a developer partnership, the investor typically provides the land, while the developer finances and manages the construction. The investor retains 30% ownership of the newly built apartments, allowing them to benefit from the increase in land value and the profits from the sale or rental of the apartments. This partnership reduces the investor's financial exposure, as the developer assumes the financial responsibility for construction, while still enabling the investor to gain from the development's success.

Can I negotiate luxury features with the developer?
Yes, through successful negotiations with the developer, investors can secure luxury features such as high-end apartments, recreational facilities, and event spaces, depending on the project’s scope and zoning approval.

What types of risks should I consider before investing in land in Eretz Yisrael?
While the potential for significant returns is high, there are some risks to consider, including legal challenges and geopolitical factors. However, the partners we work with have a track record of success in managing these risks.

How does the legal process for acquiring agricultural land work?
The process involves several stages, including legal approvals, land registration under Israeli ownership, and rezoning from agricultural to residential use. These processes can take several years but significantly increase the value of the property once completed.

Can I self-develop the property?
If you are the sole investor in the property, you have the option to self-develop it. However, most investors choose to collaborate with developers, who finance the development in exchange for 30% of the apartments. This approach allows investors to minimize financial outlay while still benefiting from the property's potential.

How long does it typically take for the entire process to complete?
From purchase to full development, the entire process can take several years. The sale approval and rezoning phases can take 3 to 5 years on average. The development of residential properties after approval can take an additional 2 to 3 years.

What is the expected return on investment (ROI) for investors?
ROI can vary greatly depending on the investor's strategy. For example, an investor who sells their full holding post-approval can expect a 100% to 133% return, while one who receives apartments in the development phase could see returns as high as 620% or more, depending on their investment strategy.

Are there tax implications I need to be aware of when investing in Israeli land?
Yes, there may be minimal taxes associated with agricultural land acquisition, ownership, and sale in Israel.

How can I ensure the safety and security of my investment?
Similar to syndicated real estate deals, the safety and security of your investment rely on trusting the expertise and integrity of the deal managers and their established processes. We work with experienced professionals and implement a structured approach to ensure transparency and accountability, providing investors with confidence in both the management and the investment process.

How can I track the progress of my investment?
Investors will receive periodic updates throughout the process, including progress reports on legal approvals, rezoning, and development stages. Our dedicated team ensures that investors stay informed about key milestones and timelines.

What happens if I need to exit the investment early?
If an investor needs to exit the investment early, they will need to work with us to find a buyer for their holdings. While we will assist in the process, we cannot guarantee the success of finding a buyer.

Can I invest in multiple properties to diversify my portfolio?
Yes, diversifying your investment across multiple properties is a great way to reduce risk. If you invest in two properties, for example, the chances of at least one transaction succeeding increase significantly, enhancing your overall return potential.

What happens if zoning approval is delayed or denied?
If zoning approval is delayed or denied, investors may face delays in returns. The industry standard typically offers two options in such cases: transferring the down payment to another property or receiving a refund of up to 75% of the down payment.

Can I finance my down payment or purchase the remaining 90% through a mortgage?
Currently, the down payment is required to be paid upfront, but it is possible to explore alternative financing options for the remaining 90% through other methods once the transaction is approved. It is recommended to consult with a financial advisor to explore your options.

How do I get started with investing?
To get started, simply contact our team to schedule a consultation. We will walk you through the process, discuss available properties, and help you determine which investment strategy is best for you.

Are there any political factors that could affect my investment?
Geopolitical developments, such as changes in zoning laws, property regulations, or land use policies, could impact investments. However, land in Israel, especially in strategic strong demand areas, tends to have strong long-term value despite geopolitical fluctuations.

What type of due diligence is done on properties before they are offered to investors?
Before presenting properties, we conduct comprehensive due diligence, including verifying land ownership, checking for any legal encumbrances, and ensuring the property is in an area with high potential for rezoning and development.

What happens if the land is not rezoned or the development project stalls?
In the unlikely event of a stalled project, investors will be given options, including transferring funds to another project or receiving a portion of the initial investment back. Our partners have a track record of success in overcoming such challenges.

What are the typical costs associated with buying and holding land in Israel?
In addition to the purchase price, there may be nominal costs for land registration, legal fees, and taxes. Holding costs may also include annual property taxes, maintenance fees (if applicable), and any development or rezoning expenses.

How are the apartments distributed after the land is successfully developed?
After the land is successfully developed, the distribution of apartments typically follows the terms outlined in the investment agreement. The exact distribution depends on the investment structure and the agreements made with the developers, which can vary from project to project.

Can I purchase land on behalf of a family or a group of investors?
Yes, we can facilitate group investments, allowing multiple parties to pool their resources for a larger purchase. In fact, our founder made his first investment in non-Jewish land as part of a group of investors.

Can I invest if I am not a resident of Israel?
Yes, non-residents can invest in Israeli land.

Are there opportunities for partial ownership or joint ventures with other investors?
Yes, we offer opportunities for partial ownership where investors can pool resources to acquire larger properties. Joint ventures are common in this market, especially when funding large-scale development projects.

How do you select the properties for these investment opportunities?
We select properties based on their potential for rezoning, current demand in the area, and long-term growth prospects. Our team of experts analyzes market trends, the strategic value of the land, and legal factors to ensure we present high-potential properties.