The real estate sector continues to be a dynamic and robust economic force in Palestine because of its accelerated rate of growth and the substantial investment returns it provides. The sector also continues to be the largest economic sector comprising 50 – 60% of total investment in Palestine, employing 11% of the workforce, and contributing close to 15% of the GDP.
A recent study conducted by PIF showed that there is a need for 47 thousand housing unit a year in Palestine during the next ten years. PIF’s National Affordable Housing Program aims to meet part of the overall need by building close to 30 thousand units over the next few years.
As for tourism, PIF pays special attention to hospitality projects because the sector has a great potential to stimulate the national economy and generate significant income. PIF has historically played a leading role in launching landmark tourism projects such as Jacir Palace - Intercontinental in Bethlehem, the Grand Park Hotel in Ramallah and the Intercontinental Hotel in Jericho; comprising one of the finest hospitality portfolios in the country. PIF is also currently planning the development of several large-scale hospitality projects in the Jordan Valley and Dead Sea areas.
Commercial real estate also holds significant potential because of the pent up demand for new large scale projects. PIF recently began developing Ersal Center, a $400 million commercial center that is expected to serve 800 thousand people living in the central region of the West Bank. The project will include commercial and residential towers in addition to a hotel and other entertainment facilities.