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Organisers and accompanying companies

In many pinui-binui (evacuate and rebuild) and TAMA 38 projects, the first approach to the apartment owners comes from an organiser: a company that offers to organise the building, get the owners to sign and lead the way to choosing a developer. The law regulates the agreement with the organiser, limits it to a set period and imposes duties on the organiser towards the apartment owners. On this page: what the organiser does, what the law provides, and what to check before signing.

This is a summary only. Every case should be reviewed individually with a lawyer who specialises in the field.

Who is an organiser

Under the law, an organiser is anyone who contracts with an apartment owner in an agreement to organise a pinui-binui transaction or a transaction under TAMA 38, or anyone who acts with a view to such a contract Organisers Law, section 1. Different names are used in the market: "accompanying company", "company for managing and accompanying residents", "residents' organising company" or "organising developer". These are commercial names. What determines whether the law applies is the substance of the agreement: whether the apartment owner committed in it to exclusivity, meaning not to negotiate and not to sign another arrangement regarding the building without the consent of the other party.

The organising agreement is not the transaction with the developer. The consideration for the apartment owners, meaning the new apartment, the rent and the guarantees, is set only in the transaction with the developer that is chosen.

The guide of the Government Authority for Urban Renewal (August 2024) distinguishes between several types of organisers:

  • a representative or agent of a developer, who acts for a particular developer;
  • a signatures organiser, who collects signatures and passes them on to a single developer, without a tender;
  • a tender organiser, who explains the process to the owners and accompanies a tender between several developers;
  • an accompanying organiser, who builds agreement among the owners, helps set up a residents' committee, and sometimes also advances the planning and accompanies the owners until occupancy.

This is a summary only. Every case should be reviewed individually with a lawyer who specialises in the field.

What the organiser does at each stage

  1. Locating the building and an initial check

    Locating the building or the compound, checking the municipality's policy and the initial feasibility, and mapping the apartment owners.

  2. Convening the owners and signing organising agreements

    Before the first signature, the organiser must convene the apartment owners and explain to them the agreement and the main points of the law.

  3. Residents' committee and professionals

    Forming a residents' committee, and choosing a lawyer, a supervisor and an appraiser acting for the residents.

  4. Developers' tender

    Preparing a tender booklet, sending it to several developers and comparing the offers. The decision rests with the apartment owners.

  5. Negotiation and signing

    Accompanying the negotiation of the agreement with the developer, alongside the residents' lawyer.

  6. Accompaniment until occupancy

    In an accompanying service: following the planning and the permit and keeping the owners updated, sometimes until the apartments are handed over.

PartyWhat it doesWho it is committed to
Organiser or accompanying companyOrganises the owners, obtains a majority and leads the way to choosing a developerTo the apartment owners, with loyalty and fairness, even when the developer pays its fee
DeveloperPlans, finances and builds, and provides consideration and securityAccording to the transaction with the apartment owners
Residents' lawyerLegal representation in dealings with the developer and the organiserTo the apartment owners only
Residents' supervisorEngineering supervision of the specification, the planning and the constructionTo the apartment owners only

The law: the Organisers Law

The law that regulates this field is the Urban Renewal (Agreements for Organising Transactions) Law, 5777-2017 (חוק התחדשות עירונית (הסכמים לארגון עסקאות), התשע״ז-2017), also known as "the Organisers Law". It was published on 3 April 2017 (Book of Laws 2630) and came into force three months later, in July 2017. The law applies to an organising agreement for a pinui-binui transaction and to an organising agreement for a transaction under TAMA 38. It was amended in 2018, as part of the amendment to the Pinui-Binui Law (חוק פינוי ובינוי (עידוד מיזמי פינוי ובינוי), התשס״ו-2006).

Convening the apartment owners before signing

Before the first organising agreement in the building is signed, the organiser must convene the apartment owners section 2. At the meeting, the organiser must explain the nature of the agreement and the main points of the law, say whether it acts on behalf of a developer, disclose its fee, if known, and any personal interest it has, and give information about the Tenants' Ombudsman and about the urban renewal administration at the local authority.

The duty to convene the owners is met when the notice was delivered and posted in the building at least 7 days in advance, at least 40% of the apartment owners took part, and minutes were taken and given to the owners. In a building of 17 apartments or more, the requirement can be met in two meetings: 30% at the first and 20% at the second. If 20% of the apartment owners ask for it at the meeting, the agreement must be translated into Arabic, Russian or Amharic.

Form and content of the agreement

The organising agreement must be in writing, and must include, among other things, the organiser's details, the date of signing and "the determining date", a clarification that the consideration will be set in the transaction with the developer, the organiser's obligations, whether it acts on behalf of a developer, the provisions on the agreement's validity and how to apply to the Ombudsman section 3. An agreement that is not in writing, or that has no date of signing or determining date, is void. Before signing, the organiser explains the agreement and its implications to the apartment owner, and gives them a copy section 4.

This is a summary only. Every case should be reviewed individually with a lawyer who specialises in the field.

The agreement period and when it expires

An organising agreement is valid for six months from "the determining date", which is the day the first organising agreement in the building was signed. The validity is extended only if the organiser meets the milestones in the law. If the organiser has not met them, the agreement expires automatically, without the apartment owners having to do anything, and the organiser is not entitled to compensation for the expiry sections 5, 6 and 10. At the end of each stage, the organiser must notify the owners whether the conditions have been met section 7.

In pinui-binui

Deadline, from the determining dateWhat must happenValidity is extended to
6 monthsSignatures of 50% of the apartment owners in a building of up to 16 apartments; 40% or 8 owners, whichever is higher, in a building of 17 apartments or more; or 35% in a building of 36 apartments or more18 months
18 monthsThe organiser has got two thirds of the apartment owners to sign, or the developer it worked with has signed a pinui-binui transaction at the rates in the previous rowTwo years
Two yearsA plan for demolition and reconstruction, submitted by the organiser or on its behalf, has been accepted for processing by a planning institution4 years from acceptance of the plan
4 years from acceptance of the planThe plan has been deposited5 years from acceptance of the plan

In TAMA 38

Deadline, from the determining dateWhat must happenValidity is extended to
6 monthsSignatures of 50% of the apartment owners in a building of up to 16 apartments, or 40% or 8 owners, whichever is higher, in a building of 17 apartments or more12 months
12 monthsThe organiser has got four fifths of the apartment owners to sign, or the developer has signed a transaction with at least one third of them18 months
18 monthsAn application for a building permit, submitted by the organiser or on its behalf, has been accepted for processing by the local committee36 months

If the building has public housing apartments, and they account for up to 40% of the apartments, the rates are calculated only on the basis of the apartments that are not public housing section 9.

The organiser does not recognise the expiry?

The Tenants' Ombudsman at the Government Authority for Urban Renewal may give an apartment owner confirmation that the organising agreement has expired section 16. The application is made on an online form on the government website, and the organising agreement and a land registry extract are attached to it. If a caution note was registered in favour of the organiser, the confirmation makes it possible to take steps to have it removed.

This is a summary only. Every case should be reviewed individually with a lawyer who specialises in the field.

The organiser's duties

  • Loyalty and fairness. The organiser acts towards the apartment owners with loyalty and fairness and in an accepted manner, and gives them all the material information it has, including whether it acts on behalf of a developer. An apartment owner who asks about the agreements of other owners will receive the information within 7 days section 11.
  • Personal interest. The organiser may not enter into a transaction in which it has a personal interest, unless it disclosed the interest and the apartment owner agreed in writing. A personal interest also includes an interest of a relative, of a partner or of a corporation in which the organiser holds more than 5% section 12.
  • Confidentiality. The organiser does not disclose or use information it received from an apartment owner without the owner's consent section 13.
  • No waiver of rights. A term in the agreement that detracts from the provisions of the law to the detriment of the apartment owner is void section 15.

Organising a transaction is not real estate brokerage, so the Real Estate Brokers Law (חוק המתווכים במקרקעין, התשנ״ו-1996) does not apply to it section 14. The law contains no criminal offences or fines. The sanctions are: the agreement expires without compensation; an agreement that is not in writing, or a term that detracts from the owners' rights, is void; and a complaint can be made to the Tenants' Ombudsman.

The Pinui-Binui Law also requires anyone acting on behalf of a developer, or receiving payment from it, to say so in the very first approach, and this is especially relevant to an organiser paid by the developer Pinui-Binui Law, section 6.

Who pays the organiser, and the conflict of interest

In practice, in most cases the developer that is chosen pays the organiser's fee, and the fee is treated as a cost of the project. This creates an incentive to promote the developer that pays more. The law does not prohibit this, but it requires disclosure and loyalty to the apartment owners.

In August 2024 the Government Authority for Urban Renewal published a non-binding recommendation for a fixed fee per existing apartment, according to the scope of the role: a signatures organiser, NIS 5,000 to 12,000; a tender organiser, NIS 8,000 to 15,000; an accompanying organiser, NIS 16,000 to 24,000; and an accompanying organiser who also advances the planning, NIS 25,000 to 30,000, plus VAT. According to the recommendation, the organiser should disclose to the owners the fee it is asking from the developer, at the latest at the meeting held before signing. A fee calculated as a percentage of the developer's profit creates a conflict of interest, and the Authority does not recommend it.

This is a summary only. Every case should be reviewed individually with a lawyer who specialises in the field.

What to check in the agreement with the organiser

TopicWhat to check
FormThe agreement is in writing, and has a date of signing and a "determining date"
Identity of the organiserName, ID number or company number, address, and for a company also the details of the general manager
Period and exclusivityThe agreement refers to the validity provisions in the law, without a longer period, and the exclusivity is limited to these periods
Fee and who paysA fixed amount per apartment, disclosed in advance and in writing, and not a percentage of the developer's profit
Payment by the apartment ownersWhether the owners have to pay anything themselves, for example agreed compensation for leaving early, and how much
Developers' tenderAn undertaking to hold a competitive tender between several developers, with the final decision resting with the apartment owners
Scope of the serviceA detailed list of the services: meetings, residents' committee, choosing a lawyer from several offers, tender, accompanying the negotiation, and, if agreed, accompaniment until occupancy
ReportingNotice at the end of each stage on whether the conditions have been met
Conflict of interestWritten disclosure of any connection to the developer, to a lawyer or to an appraiser in the project
Caution note and power of attorneyIf the organiser asks to register a caution note or to receive a power of attorney, there must be a written undertaking to remove them when the agreement expires

Warning signs

  • An organiser who "already has a developer", or who does not disclose its connection to the developer.
  • A fee that was not disclosed in writing before the meeting, or a fee calculated as a percentage of the developer's profit.
  • Signing before a meeting, or rushed, one-to-one signing on the claim that "everyone has already signed".
  • An agreement without a "determining date", or with a period longer than the one in the law.
  • Getting older apartment owners, or people who do not have a good command of the language, to sign without an explanation and without a translation.
  • An organiser who also serves as the residents' lawyer, or who brings a lawyer along.
  • An organiser who refuses to recognise that the agreement has expired.

Questions to ask before choosing an organiser

  1. On whose behalf do you act? Do you also provide services to developers, in this project or in other projects?
  2. What is your fee, who will pay it and at which stages? Will you present it in writing before the meeting?
  3. How many developers have you worked with in the last three years, and in how many projects have you run a tender?
  4. How will the developer be chosen, and who decides?
  5. What happens if no developer is chosen, or if we want to leave the agreement?
  6. Will you ask for a power of attorney or for a caution note to be registered?

It is better for the apartment owners to choose a residents' committee first, and for the committee to choose the organiser. This prevents the signatures from being split between several organisers. If there is an urban renewal administration at the local authority, it is worth contacting it before signing.

Residents' organising and accompanying companies: a list for reference

The companies below appear in the Magdilim website's 2026 ranking of "organising companies", and their details were taken from the companies' websites, from the ranking or from Dun's 100. They are listed in Hebrew alphabetical order. The list is not a recommendation, rating or opinion about any company, and not being listed does not indicate anything. Before choosing, check on whose behalf the company acts, using the questions above.

Updated as of October 2026. To correct or remove details, please contact us.

Frequently asked questions

What is the difference between an organiser and a developer?

The organiser organises the apartment owners ahead of the transaction and leads the way to choosing a developer. The developer is the party that contracts with the apartment owners in the transaction itself, plans, finances and builds, and provides the consideration and the security. The organising agreement is not the transaction with the developer, and the consideration for the apartment owners is set only in the transaction with the developer.

How long is an agreement with an organiser valid?

Six months from the "determining date", meaning the day the first organising agreement in the building was signed. The validity is extended only if the organiser meets the milestones in the law, for example getting half of the apartment owners to sign in a building of up to 16 apartments. If the organiser has not met them, the agreement expires automatically, and the organiser is not entitled to compensation for the expiry.

Who pays the organiser?

In practice, in most cases the developer that is chosen pays the organiser's fee, and the fee is treated as part of the project's costs. Even when the developer pays, the organiser must act with loyalty and fairness towards the apartment owners, and disclose to them whether it acts on behalf of a developer and what its fee is.

The organiser claims the agreement is still valid. What can we do?

You can contact the Tenants' Ombudsman at the Government Authority for Urban Renewal. The Ombudsman may give an apartment owner confirmation that the organising agreement has expired, because the conditions in the law were not met. The organising agreement and a land registry extract are attached to the application.

Can the organiser also be the residents' lawyer?

No. According to the guide of the Government Authority for Urban Renewal, a person who serves as an organiser should not also serve as the residents' lawyer in the same project. The apartment owners choose the lawyer, and not on the recommendation of the organiser or the developer.

This is a summary only. Every case should be reviewed individually with a lawyer who specialises in the field.

Has an organiser approached you?

Before signing an organising agreement, it is worth having it reviewed by a lawyer acting for the residents. Leave your details, and we will get back to you.

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