Nvidia’s announcement that it will relocate its development center in Be’er Sheva to a new complex three times larger than the current one — along with its plan to purchase up to 120 dunams in Yokne’am for an additional campus — has ignited a wave of optimism across Israel’s commercial real estate sector. After years of stagnation, oversupply, and a shift to hybrid work, industry leaders believe that the tech giant’s expansion will boost demand for office space in the south, encourage new investment, and mark a turning point for the market.
By Nir Castel, Nadlan Center
The company’s statement on Sunday — following its July request for information (RFI) to acquire 70–120 dunams near its Yokne’am headquarters for a future campus spanning 80,000–180,000 sqm — is expected to make Nvidia Israel’s largest private employer. In doing so, the move could breathe new life into the office market, especially in the periphery and southern regions.
According to Alon Waxman, CEO of income-producing real estate company Mishorim, Nvidia’s growth will drive up demand: “This expansion represents a significant vote of confidence in the Israeli market. An investment of this scale creates a dual effect — it increases demand for high-quality office space while revitalizing existing areas. At the same time, it opens up major opportunities for developers and investors looking for strategic locations.”
Shlomi Akrish, CEO of Aspen Group, agrees: “Those who secure prime, well-connected locations suited to employees’ needs could benefit from major opportunities. Overall, the Israeli market is entering a new period of potential — one that could bring offices back to the center of the conversation among developers, investors, and local authorities.”
He adds that “the most significant impact will be in the south and the periphery, where such investments can drive real change in the local office market, refresh existing zones, and upgrade infrastructure. Nvidia’s arrival will motivate additional players — companies may expand operations beyond the center, and developers could accelerate new office projects. For the peripheral office market, this is a meaningful shift, with potential to increase demand, raise the appeal of income-producing assets, and create new business opportunities.”
Eyal Haberfeld, CEO of GT Real Estate, which develops and manages commercial projects, emphasizes the broader regional implications: “Nvidia’s announcement is tremendous news for the entire south. It’s an event that will trigger accelerated development, create new jobs, and generate immediate demand for complementary real estate infrastructure — commercial centers, housing projects, office spaces, and logistics facilities. Beyond that, the presence of a company of this magnitude will attract additional players from the high-tech, services, and retail sectors, becoming a true growth engine for the Negev.”
He continues, “At GT Real Estate, we see firsthand how every strategic investment and job-creating initiative strengthens the local economy. Each time we open a shopping center in towns like Ofakim or Netivot, we witness the real impact — hundreds of new jobs, improved infrastructure, and a ripple effect of local entrepreneurship and investment. Nvidia’s move isn’t just a technological or economic milestone — it’s a powerful statement of confidence in Israel and its vast potential.”
Nadlan Center is Israel’s leading real estate news and knowledge platform in Hebrew, created for industry professionals. Founded by experts in the field, it delivers in-depth, up-to-date coverage on urban renewal, planning and construction, taxation, and housing policy — tailored to the needs of developers, investors, planners, and financiers. In addition to its widely read news content, Nadlan Center hosts major industry events, professional conferences, and training programs that support the growth and development of the Israeli real estate sector.
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