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Economy04.01.2026

Record Number of Building Permits Issued in Jerusalem: 8,445 in a Year

Permits were issued for 142,000 m² of office space and 738 hotel rooms. The construction boom brought record revenues of 1.123 billion shekels to the city budget.

Jerusalem set a new record for issuing residential building permits in 2025. The city municipality approved the construction of 8,445 new housing units, marking an all-time high.

Development in 2025 extended beyond the residential sector to commercial infrastructure as well:

  • Commercial real estate: permits were issued for 142,000 m² of office space.
  • Tourism: approval granted for the construction of 738 new hotel rooms.

The construction boom brought record revenues of 1.123 billion shekels to the city budget. These funds came from developers as special earmarked fees for infrastructure and road development.

Over the past five years (2021–2025), the total number of permits issued exceeded 36,000 apartments. For comparison, 7,221 permits were issued in 2024, while prior to 2019, the annual average was around 2,500.

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