The National Outline Plan 38, commonly known as Tama 38, was born out of a national need: strengthening old buildings against earthquakes. Over the years, however, the program has evolved into a significant tool for urban renewal, infrastructure improvement, and increasing property values in many areas across the country.
In this article, we’ll explain what Tama 38 is, its advantages and disadvantages, the differences between its various types, and how it relates to urban renewal and evacuation–construction projects. We’ll also cover scenarios where the program is relevant both for residents seeking to understand their options and for investors assessing the future potential of properties.
The Basis of the Program: Structural Reinforcement and Additional Building Rights
To fully understand Tama 38, we need to go back to the 1950s and 1960s, when thousands of residential buildings were constructed in Israel without sufficient earthquake resistance. The National Outline Plan was designed to address these buildings by providing structural reinforcement in exchange for building benefits such as additional apartments, extensions, balconies, and elevators. Residents receive a significant upgrade in their living conditions, while the developer enjoys economic profitability.
Over time, subcategories were added to the plan, such as Tama 38/1 for strengthening and expanding existing buildings, and Tama 38/2 for demolishing and rebuilding. Working with a professional developer—or a real estate office familiar with urban renewal trends—can help residents lead such a project without losing control or encountering legal difficulties.
Urban renewal also means significant savings, upgrades, and appreciation of local properties. Beyond structural reinforcement, Tama 38 offers clear economic benefits: higher property values, lower maintenance costs due to new infrastructure, and significantly improved living standards—elevators, lobbies, parking, and sometimes storage rooms. A responsible developer usually covers most costs, including the residents’ lawyer and inspector, reducing risk for current owners.
One common dilemma for property owners is whether to join a Tama 38 project or sell the property immediately. The answer depends on location, lot size, and the project’s economic feasibility for the developer. In some cases, early professional guidance during the feasibility stage can change the entire picture, especially when residents disagree or a special municipal permit is required.
When Is Evacuation–Construction Preferable to Tama 38?
In cases involving entire complexes or buildings that cannot be reinforced due to planning restrictions, an evacuation–construction plan may be more suitable. These are larger projects in which several buildings are demolished, and a new, modern complex is built. In some cases, residents receive larger apartments or better financial terms than in a standard Tama 38 project. However, such projects take longer and require broader resident support. Here too, choosing the right developer or working with a local real estate office familiar with the market and potential partnerships can be a decisive factor in the project’s success.
Challenges to Be Aware of in Advance
Despite its many advantages, Tama 38 is not suitable for every building or every resident. Sometimes it’s difficult to obtain the required majority from residents, the bureaucratic process can be lengthy, and there may be delays from the municipality, planning committees, or other authorities. It’s also important to beware of developers who make exaggerated promises without conducting thorough engineering, planning, and financial checks.
A successful Tama 38 project is one managed by a professional team that includes an experienced lawyer, a residents’ inspector, an appraiser, and sometimes a financing bank. Careful selection of project partners is the key to a strengthened, upgraded building with a much higher market value.
How Do You Know If Your Building Qualifies?
Before starting a Tama 38 process, it’s important to check whether the building meets the program’s basic criteria: permit date (before January 1980), the building’s maintenance condition, compliance with the local master plan, and the ability to realize the building rights in practice. At this stage, it’s recommended to involve an architect for a preliminary review alongside an appraiser to assess the project’s economic viability for the developer. Guidance from a local real estate office familiar with the market and municipal policies can also help identify suitable developers and assess implementation prospects. This stage is critical for preventing delays, false promises, and ensuring a serious, transparent, and executable process.
Whether you live in an old building or are considering investing in real estate with renewal potential, it’s important to understand what Tama 38 is and the implications of such a project. It is one of the main tools for improving city appearance, building safety, and residents’ quality of life. With professional guidance and proper management, the process can be highly profitable and significantly boost property value. As with any real estate venture, it is advisable to consult professionals familiar with the area, the legal and planning aspects, and the complexities of managing such a project safely and transparently.
Q&A
What’s the difference between Tama 38 and evacuation–construction?
Tama 38 applies to a single building, while evacuation–construction can cover entire complexes and is more complex.
Is every old building suitable for Tama 38?
No. You must check building rights, plot boundaries, existing infrastructure, and potential municipal objections.
How long does a Tama 38 project take?
On average, 3–5 years, including planning, permitting, and construction stages.
Is it worth waiting for a project or selling the apartment now?
It depends on the location, project progress, and local demand. Consult a professional, such as an appraiser or a local real estate office, to assess your property’s current and future value.
Can resistant residents be compelled to participate?
Yes, if there is a legal majority. For Tama 38/1 (reinforcement and expansion), 66% consent is required; for Tama 38/2 (demolition and reconstruction), 80% consent is needed.
Who pays for the renovations in the project?
The developer covers the full project cost, including new construction, legal fees, and resident relocation if needed.
Can Tama 38 be done in a building with businesses on the ground floor?
Yes, but it requires tailored planning and may have limitations on building rights.
Can a single resident delay an entire project?
Usually not. With a legal majority, it’s possible to proceed through legal channels even with some opposition.
