What Is the Tel HaShomer Project and Why It Matters
The Tel HaShomer military base, operating for decades in the heart of Bik'at Ono, is undergoing a phased evacuation. The massive 2,000+ dunam site will be transformed into new residential neighborhoods, employment zones, parks, and public institutions. This is part of a broader national initiative called 'Shoham 4,' under which 11 IDF bases in central Israel will be vacated to enable the construction of approximately 19,000 housing units.
The project is built on two master plans approved by the National Planning Committee (VATMAL): Plan 1001 'Tel HaShomer Center' covering 1,360 dunams with ~9,500 units, and Plan 1002 'Tel HaShomer North' covering 218 dunams with ~2,000 units. Together, they will deliver approximately 11,500 housing units, 440,000 sqm of employment and commercial space, public institutions, and open areas.
For Bik'at Ono, this represents a fundamental character change — from a semi-suburban area to a metropolitan center with dramatically improved transportation, employment, and services.
- Plan 1001: 9,500 units across Kiryat Ono, Or Yehuda, and Ramat Gan
- Plan 1002: 2,000 units east of Sheba Medical Center in Ramat Gan
- Doctors' Housing: 2,260 units north of Sheba, including 1,200 long-term rentals
Timeline — When Will the Apartments Actually Be Built
The Tel HaShomer project is a decade-long undertaking. Base evacuation began in 2026 with intelligence units relocating to the Negev, with the second phase expected by the end of 2028. After evacuation, detailed planning, tenders, and soil decontamination (a critical issue that led to a compromise with environmental groups) must be completed before construction begins.
Some parts are already underway. The Doctors' Housing complex (2,260 units north of Sheba) is in advanced construction stages, with a tender for 1,200 long-term rental units already published. In Tel HaShomer South (Or Yehuda), Hanan Mor Group won a tender for 247 units at NIS 420 million.
| Phase | Plan | Status (March 2026) | Units | Expected Occupancy |
|---|---|---|---|---|
| Doctors' Housing | RG/1330 | Under construction | 2,260 | 2027-2029 |
| Tel HaShomer South (Phase 1) | TAMAL/1001 partial | Tender closed | ~250 | 2029-2030 |
| Tel HaShomer Center | TAMAL/1001 | Approved, awaiting evacuation | 9,500 | 2030-2035 |
| Tel HaShomer North | TAMAL/1002 | Approved | 2,000 | 2031-2035 |
- Phased evacuation: Stage 1 in 2026, Stage 2 by end of 2028
- First units in the main plan expected no earlier than 2030-2032
- Soil contamination cleanup is a prerequisite that may cause delays
How the Project Will Affect Property Prices in Bik'at Ono
This is the key question for every homeowner in the region. On one hand, 11,500 new units could increase supply and put downward pressure on prices. On the other hand, the massive infrastructure upgrade — Purple Line light rail, MyOno employment hub, parks and public services — typically raises property values.
The data tells a nuanced story: Kiryat Ono saw a 4% price decline in 2024 (the highest in Israel), partly attributed to temporary oversupply from new projects. But by early 2026, closing prices rose 4-5%. The market absorbs new supply, but not evenly.
The critical point: Tel HaShomer units will enter the market gradually over a decade, not all at once. A significant portion is designated for long-term rental rather than sale, reducing the impact on the sales market.
| Parameter | Expected Impact | Explanation |
|---|---|---|
| Existing apartments in Kiryat Ono | Stable to moderate increase | Strong demand + infrastructure upgrade |
| Or Yehuda apartments | Potential increase | City benefits most from the project |
| Rental market | Downward pressure | 1,200+ institutional rental units added |
| New construction from developers | Increased competition | New projects competing for buyers |
- Impact will be gradual — not a sharp drop, but slow change over a decade
- Kiryat Ono homeowners: no reason for panic. Demand + light rail = stable values
- Or Yehuda positioned for significant appreciation
- Rental market will see increased competition — good for tenants
Infrastructure — Light Rail, Employment, and Public Services
One of the project's greatest advantages is its infrastructure context. The Purple Line light rail (Dankal) will run through the heart of the complex — a 27 km line with 43 stations connecting Tel Aviv, Ramat Gan, Givatayim, Kiryat Ono, Or Yehuda, and Yehud. It is expected to carry 60 million passengers annually, with track-laying and electrification already underway since 2024.
The MyOno complex at Savyon Junction is becoming a metropolitan employment and commercial center spanning 40 dunams with 400,000 sqm of offices, retail, and leisure. Major companies like Mekorot have already relocated their headquarters to Kiryat Ono, and the ONYX project offers 38,000 sqm of premium office space.
Within the Tel HaShomer complex itself, plans include schools, kindergartens, a large urban park, commercial areas, and advanced transportation infrastructure — all contributing to a significant quality-of-life upgrade.
- Purple Line: 27 km, 43 stations, running through Tel HaShomer
- MyOno: 400,000 sqm commercial hub at Savyon Junction
- ONYX: 38,000 sqm premium offices by Sufrin-Weiss and Menora
- ACRO Business Campus: 45,000 sqm across 3 office buildings
What to Do Now — Advice for Sellers, Buyers, and Investors
The project is coming, but not tomorrow. The question is what to do with this information today.
For sellers in Bik'at Ono: There is no reason to rush to sell out of fear that the project will lower prices. Supply will arrive gradually, and demand in the area remains strong. If you are planning to sell within the next two years, conditions are actually favorable — interest rates are declining and demand is strengthening.
For buyers looking now: Do not wait for Tel HaShomer apartments — they are still years away. If you have found a suitable property in Kiryat Ono, Ganei Tikva, or Or Yehuda, buy based on current conditions, not on what might happen in 5-8 years.
For investors: Or Yehuda may be the most interesting opportunity. Entry prices are still relatively low (3-room apartment at NIS 1.8-2.4 million), and the project is expected to significantly upgrade the city. Watch the rental market as well — demand will grow with construction activity and the opening of employment centers.
Want to know what your property is worth in light of these developments? Talk to Shmuel for a professional valuation that considers the full picture. Reach out via WhatsApp or phone.
- Sellers: No panic needed. Strong demand, gradual supply increase
- Buyers: Don't wait. Tel HaShomer is years away; current market offers opportunities
- Investors: Or Yehuda and south Kiryat Ono — low entry prices + appreciation potential
- Everyone: Stay informed, follow developments, make data-based decisions
