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Urban Focal Points and Design Quality Influence Rents: The Case of the Tel Aviv Office Market

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  • Daniel Gat

Abstract

Israel is steadily shifting towards a services-heavy economy. The city of Tel Aviv, which specializes in commercial, business and financial services, is the country’s office-space capital. This study aims to reveal the factors influencing rent levels within Tel Aviv’s expanding office market. The research confirms that important contributors are access to any of three major urban foci and the quality of building design. Lesser contributors are building height and floor area. Age of building and area-wide density of manufacturing are detractors of value. Density of services was originally intended to stand in for face-to-face facilitation. However, its estimation power is disappointing when compared to foci access.

Suggested Citation

  • Daniel Gat, 1998. "Urban Focal Points and Design Quality Influence Rents: The Case of the Tel Aviv Office Market," Journal of Real Estate Research, Taylor & Francis Journals, vol. 16(2), pages 229-248, January.
    • Handle: RePEc:taf:rjerxx:v:16:y:1998:i:2:p:229-248
    DOI: 10.1080/10835547.1998.12090945
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