Chassidic Gur Acquires Arad Mall: Plans for Transformation Raise Local Concerns

Overview of the Acquisition

Chassidic Gur, a prominent Hasidic group in Israel, has recently purchased the only shopping mall in the southern city of Arad for 40 million shekels. The acquisition has sparked concern among local residents regarding potential changes in the mall’s character and its impact on existing businesses.

Background of Arad Mall

Established in 1996, Arad Mall is built on approximately 20 dunams of land, featuring two floors and a built-up area of around 12,500 square meters. It includes a parking facility with 300 spaces and a commercial area of about 8,000 square meters. Currently, the mall maintains a high occupancy rate of 94% and generates an annual rental income of approximately 3.1 million shekels.

Local Concerns About Changing Dynamics

The new owners, Menachem Kain and Simcha Greenbaum, have acknowledged their intent to “make the mall more suitable for the Haredi community.” This intention has led to fear among local residents regarding the possible closure of businesses that do not align with the new owners’ vision. Former mayor Nissan Ben Hamo expressed his concerns, stating that the mall could mirror establishments in Beit Shemesh, potentially excluding women-oriented businesses and those considered incompatible with Haredi values.

Local residents specifically worry about the future of the Super-Pharm store in the mall, the only pharmacy open on Saturdays, fearing it may be forced to close under the new ownership.

Responses from Local Officials and Owners

Lidor Cohen, the current mayor of Arad, rebuffed claims of a drastic shift in the mall’s operations, suggesting that the new owners are primarily interested in investment opportunities and that the character of the mall would remain unchanged. He asserted that the ownership change should not be misconstrued as a campaign for Haredi exclusivity.

Conversely, Kain and Greenbaum clarified their position, affirming their commitment to attracting Haredi shoppers while still accommodating secular clientele. They emphasized a need for more servstarts that cater to the Haredi demographic, citing a lack of appropriate retail options currently available in the city.

Future Prospects

While the new owners have no immediate plans to expand the mall or utilize the extensive building rights associated with the property, they focused on revitalizing the existing commercial space. Meetings with current tenants have reportedly been constructive, indicating a collaborative effort to sustain business ventures.

In summary, the sale of Arad Mall to Chassidic Gur has triggered discussions about the evolving social fabric of the city and the potential repercussions on local businesses, drawing attention to the delicate balance between community needs and commercial interests.