Building residential projects in israel.
Donitz ended 2025 with a real improvement in core project margins, but cash flow, inventory growth, and higher leverage show that more capital is now trapped inside the project pipeline, so the key debate has shifted from profit to funding and cash conversion.
The Rothschild-Menora option is still not a capital-release event for Donitz. It remains an unresolved fork in which a third party holds the right to require the project company to buy its 50% stake for NIS 100 million plus additions, while the other path is only a sale of that…
What truly got unstuck at Donitz in 2025 and early 2026 was not the entire urban-renewal pipeline, but a narrower cluster of projects that already combined permits, signatures, and in some cases demolition or evacuation readiness, while a large part of the volume still sits too…
Donitz's 2025 problem is not just a headline working-capital deficit. It is a deep gap between current assets that are mostly project assets rather than liquid cash, and liabilities plus guarantees that require continuing funding support.
