Three days after it became known that Z. Landau Constructing and Engineering was seeking a stay of proceedings in protection from creditors, the Tel Aviv company sent letters to the buyers of apartments at the two projects where it’s the developer — in Kiryat Gat and Ashkelon.
The company said Friday that it hoped to have the homes ready with as short a delay as possible. Meanwhile, the Housing Ministry says the buyers have been told they are protected by law for sums they have already paid on their homes.
The company, which has specialized on projects geared toward ultra-Orthodox Jews, has an 88-unit project under construction in Ashkelon; 16 of the units have been sold in the project’s first phase. The company’s second site, which is in a more-advanced stage, consists of 36 detached homes in Kiryat Gat, all of which have been sold.
In its letter, Z. Landau said construction work at the two sites would shortly resume at full throttle.
In addition, the company has been involved in a number of other projects for other developers, notably for Shikun & Binui real estate. That company has also assured its customers that the roughly 600 housing units at projects in which Z. Landau is involved would be delivered with as short a delay as possible.
The Tel Aviv District Court has appointed trustees in the case and has issued a temporary stay of proceedings until Tuesday, when it is expected to consider Z. Landau’s request for a 90-day stay.
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