Building a hotel is an costly enterprise, however earlier than you construct you want a high-quality location. Pai Siam (TASE: PIES), managed by Shlomo Dakokey, has notified traders of an up to date valuation of the King Solomon Hotel undertaking that it plans for Jerusalem. For the needs of its third quarter financials, the corporate has obtained a valuation of the leasing rights of the undertaking of NIS 286 million, up from NIS 98.8 million on the finish of the primary half of the yr. The leap of 189% inside a single quarter stems, the corporate says, from progress in planning of the undertaking, with approval by the Jerusalem Planning Building Committee’s of the Urban Building Plan that can apply to it, together with the expanded constructing rights that the corporate requested.
Pai Siam’s share value has climbed 10% in October, however at this morning’s opening it was nonetheless down 4% for the yr thus far. The firm’s market cap is over NIS 700 million.
The luxury hotel can be on eleven flooring above floor, with eight flooring under floor. The location is the nook of Koresh Street and Shlomo Hamelech (King Solomon) Street in central Jerusalem, a brief stroll from the Old City’s Jaffa Gate.
The appraiser’s report hooked up to the notification, by Z.C. Researches and Surveys and signed by appraiser Erez Cohen, reveals the historical past of the land on which the hotel can be constructed. It seems that till 1990, the house owners of the rights on the land had been “bearers of Iranian passports” whose names weren’t disclosed. They bought the land to an organization known as Parishta, which in flip bought it to Pai Siam in May 2022.
The deliberate hotel is graded A within the Ministry of Tourism’s grading system. The appraiser treats it as a five-star hotel, and states that Pai Siam is in talks with hotel administration corporations in Israel and abroad. The hotel will include 209 rooms, plus twelve 60 sq. meter suites.
The appraiser tried to estimate what the value of a room within the new hotel can be. On the premise of a survey of luxury hotel room costs in Jerusalem on Booking.com that included the Mamilla, David Citadel, Orient, Inbal, Waldorf Astoria, and King David lodges, for a room and breakfast, he discovered that for this December the value (together with VAT) is NIS 2,443 on the David Citadel, NIS 1,167 on the Orient, and NIS 2,443 on the Waldorf Astoria. The highest priced hotel within the survey is the King David, the place a room prices NIS 2,611. The appraiser assumes a spread of NIS 2,350-2,550 an evening for the new hotel, at an occupancy charge of 65-70%.
Published by Globes, Israel enterprise information – en.globes.co.il – on October 30, 2025.
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