GT Real Estate Expands North With Rosh Pina Mall Acquisition From Ashtrom Properties

A Southern Developer Looks Northward

GT Real Estate, the Israeli commercial property developer best known for its portfolio of open-air shopping centers in the country’s southern periphery, has signed an agreement to acquire the Rosh Pina Mall in the Upper Galilee from Ashtrom Properties. The deal, valued at approximately NIS 48.5 million, marks a significant strategic pivot for a company whose identity has long been tied to cities like Sderot, Netivot, and Ofakim.

The transaction was announced this week, signaling what appears to be a deliberate expansion into northern Israel. For a developer that built its reputation on revitalizing retail in the conflict-adjacent communities of the Negev, the move into the scenic hills of the Upper Galilee represents more than just a new asset — it is a statement about the resilience and recovery of Israel’s peripheral regions.

GT Real Estate confirmed that it has signed an agreement to purchase full rights to the mall, including the adjacent parking lot and the land on which the property stands. The acquisition is still subject to standard closing conditions, and the company has not yet declared the transaction complete.

The Asset: Rosh Pina Mall at a Glance

The Rosh Pina Mall comprises approximately 4,750 square meters of commercial space in the historic town, which sits along the Route 90 corridor in the Upper Galilee. The property currently generates a net operating income (NOI) of about NIS 3 million per year. NOI, for the uninitiated, is a standard measure of a property’s income performance — essentially the annual revenue generated from tenants minus operating expenses, before debt service and taxes. It is the metric most commonly used by commercial real estate investors to gauge the underlying profitability of an income-producing asset.

According to GT Real Estate’s estimates, the expected NOI following the acquisition and upgrading of the property will stand at approximately NIS 5 million per year. That projected increase of roughly two-thirds suggests the company sees meaningful untapped potential in the existing tenant mix and the property’s operational efficiency.

Among the chains currently operating in the complex are Tamnoon, the popular bakery-café chain; Renuar, the Israeli fashion retailer; and TWENTYFOURSEVEN, the convenience store brand. These anchor tenants provide a solid base of foot traffic, but GT Real Estate clearly believes that with its management approach, the mall can generate significantly more value.

Gabriel Trabelsi: From Netivot to the Galilee

Gabriel Trabelsi, chairman and owner of GT Real Estate, framed the acquisition as part of a broader growth trajectory. “The acquisition of the Rosh Pina Mall joins a series of moves we have been leading recently and illustrates the company's growth and expansion trend,” Trabelsi stated.

Trabelsi founded the company in Netivot, a development town in the western Negev that has historically struggled with economic marginalization. From those humble beginnings, GT Real Estate has grown into a group that owns and manages approximately 120,000 square meters of income-producing real estate across Israel. The company’s portfolio now stretches from Hatzor HaGlilit in the north to Eilat in the south, with headquarters on Ahad Ha’Am Street in Tel Aviv and an additional office in Netivot.

The company specializes in the initiation, development, and management of large-scale commercial projects, with a focus on open-air shopping centers and commercial buildings in city centers near major transportation routes. It also owns tens of thousands of square meters of solar panels installed on the rooftops of its properties, reflecting a commitment to renewable energy that is relatively uncommon among Israeli commercial landlords.

A Northern Cluster Takes Shape

The Rosh Pina acquisition does not occur in a vacuum. About two months ago, GT Real Estate received a permit to establish the GT Galil commercial center in neighboring Hatzor Haglilit, a development town located just a few minutes’ drive from Rosh Pina. That project, covering an area of approximately 6,600 square meters, is expected to begin construction in the near future, with occupancy scheduled for the end of 2027.

Together, the Rosh Pina Mall and the planned GT Galil center would form a cohesive northern cluster for the company — two complementary assets in adjacent communities serving the same regional catchment area. Rosh Pina, with its historic charm and growing tourism profile, offers a different retail dynamic than Hatzor Haglilit, a working-class development town with its own distinct consumer base.

This dual-pronged approach mirrors the strategy GT Real Estate has employed in the south, where it operates centers in multiple nearby communities, creating efficiencies in management, maintenance, and tenant relationships across a geographic cluster.

Portfolio Growth: Nine Yield-Generating Properties

Upon completion of the Rosh Pina Mall transaction, the number of commercial centers owned by GT Real Estate will stand at nine yield-generating properties, alongside additional properties in various stages of construction. The company’s existing portfolio includes assets in Sderot, Netivot, Ofakim, Eilat, and Jerusalem — cities that have often been overlooked by the major Tel Aviv-centric retail developers.

The addition of Rosh Pina brings a new dimension to that portfolio. Unlike the flat, arid landscapes of the Negev towns where GT Real Estate built its name, Rosh Pina is situated in the lush, mountainous Upper Galilee, near the Hula Valley and the Golan Heights. The town has long been a destination for domestic tourism, known for its restored 19th-century buildings, boutique wineries, and artists’ colony.

For a company that has consistently positioned itself as a developer committed to strengthening peripheral cities and enhancing their retail and leisure experiences, Rosh Pina represents a natural fit — even if it requires a shift in geographic focus.

Market Context: The Galilee’s Gradual Recovery

The timing of this acquisition is notable. Northern Israel’s retail and commercial property market has been recovering gradually following the years of war and rocket fire along the Lebanese border between 2023 and 2025. Communities throughout the Upper Galilee, including Rosh Pina and Hatzor Haglilit, experienced significant disruption during that period, with businesses shuttered, residents evacuated, and consumer activity sharply curtailed.

In recent months, however, investors have shown renewed interest in the Galilee. The region’s natural beauty, relatively affordable real estate prices compared to the center of the country, and government incentives for development in the periphery have all contributed to a cautious but discernible uptick in commercial activity.

GT Real Estate’s move into the region can be read as a vote of confidence in the Galilee’s long-term prospects. The company has experience operating in communities that have faced security challenges — Sderot and Netivot have both been targets of rocket fire from Gaza over the years — and has demonstrated a willingness to invest when others might hesitate.

What the Deal Says About Israeli Retail

The Rosh Pina Mall acquisition also offers insights into the broader state of Israeli retail. While e-commerce continues to grow, physical retail in peripheral areas remains resilient, particularly when anchored by essential services and popular chains. The presence of Tamnoon, Renuar, and TWENTYFOURSEVEN at the Rosh Pina Mall suggests a tenant mix that balances daily needs with fashion and convenience — a formula that has proven successful in GT Real Estate’s southern properties.

The projected increase in NOI from NIS 3 million to NIS 5 million per year implies that GT Real Estate believes it can significantly improve the property’s performance through better management, potential tenant mix optimization, and physical upgrades. In the current Israeli market, where construction costs remain high and financing is expensive, acquiring an existing income-producing asset with room for improvement can be more attractive than ground-up development.

For Ashtrom Properties, the seller, the divestment appears to be part of a portfolio strategy focused on larger or more centrally located assets. Ashtrom, one of Israel’s largest construction and infrastructure groups, has been active in the commercial property sector for decades, but the Rosh Pina Mall may no longer fit its core investment criteria.

Looking Ahead: Construction and Occupancy Timelines

While the Rosh Pina Mall acquisition is still pending finalization, the company’s immediate focus in the north will be on advancing the GT Galil project in Hatzor Haglilit. Construction work on that center is expected to begin in the near future, with occupancy scheduled for the end of 2027. The approximately 6,600 square meters of commercial space will add substantially to the company’s northern footprint.

Once both the Rosh Pina Mall and the GT Galil center are fully operational, GT Real Estate will have a significant presence in the Upper Galilee, serving a population that spans multiple communities along the Route 90 corridor. The company’s ability to manage properties across a dispersed geographic area — from Eilat in the far south to the Galilee in the far north — will be tested, but its track record suggests it is up to the challenge.

The company’s commitment to peripheral development is not merely rhetorical. GT Real Estate has consistently invested in communities that larger developers have ignored, and its portfolio of approximately 120,000 square meters of income-producing real estate stands as evidence of that strategy’s viability. The addition of solar panels on its properties further underscores a long-term view of asset management that prioritizes sustainability alongside profitability.

A Symbolic Shift with Practical Implications

For observers of Israeli commercial real estate, the symbolism of this deal is hard to miss. A developer that built its name in the south — in towns that have borne the brunt of conflict with Gaza — is now planting a flag in the north, near the Lebanese border. The message is clear: peripheral Israel, in all its forms, remains a viable and attractive market for commercial investment.

The practical implications are equally significant. The acquisition will bring professional management and potential upgrades to a mall serving Rosh Pina and its surrounding communities. It will also create synergies with the planned GT Galil center in Hatzor Haglilit, potentially attracting national retail chains that might otherwise be hesitant to enter the region.

As the transaction moves toward completion in the coming months, and as construction on the GT Galil center progresses, GT Real Estate’s northern expansion will bear watching. If the company can replicate its southern success in the Galilee, it will have demonstrated that a periphery-focused retail model can work across Israel’s diverse geographic and demographic landscape.

For now, the agreement stands as a testament to the resilience of Israeli retail and the enduring appeal of the country’s peripheral regions — from the dusty Negev towns where GT Real Estate began, to the green hills of the Upper Galilee where it is now making its mark.

This article was produced with AI-assisted research and editorial support. Sources: The Jerusalem Post; GT Real Estate official website.

By Hannah Berg, Staff Writer