Hotel Living
Updated: Oct 1
By Howard Goldberg
A Little-Known Option in Yerushalayim
Around 10 years ago we came to Israel and stayed at the Dan Panorama. We had contacted Gedaliah Borvick, a real estate agent in the area, to look at apartments to purchase. We were on the fence about buying but wanted to explore the possibilities. He showed us newly built apartments in Arnona and other neighborhoods, but they did not seem to fit our needs.
We were planning to return without purchasing when an ad in The Jerusalem Post caught our attention: “Apartment for Sale in the Leonardo Plaza Hotel.” We were not aware of this possibility. It seems there are around 60 apartments—one-, two- and three-bedroom units—available for purchase at the hotel, two on each end at the front and rear of the building. We went to see the apartment and made an offer on the spot. It was accepted and we have gone every year since to stay at our apartment.
I want to share the positives and negatives of purchasing at the Leonardo Plaza. Our experience has been almost uniformly positive. First, of course, in the location. We are across from The Great Synagogue and Heichal Shlomo, two beautiful, vibrant shuls. Yeshurun Synagogue is a 10-minute walk.
There are four cafes within a five-minute walking distance and tons of shops on Keren Kayemet, which is a five- to 10-minute walk away. Supersol, a well-stocked supermarket is just a five-minute walk from the hotel. Ben Yehudah is a 10-minute walk; you learn the shortcuts. Mamilla Mall is a 10-minute walk, though longer on return as it’s uphill all the way on Agron Street. It is a 20- to 25-minute walk to the Kotel; a 20-minute walk to Machanah Yehudah; a 10- to 12-minute walk through the park to Yoel Solomon, which borders Ben Yehudah, and Piccolino restaurant—a favorite. It’s a 20-minute walk to the Central Train Station, longer on the way back as it’s uphill on Keren Hayesod Street. Can’t be beat!
Our apartment is around 80 square meters and is on the 14th floor. Our view overlooks Independence Park and we often get to see free concerts from our balcony. We have two bedrooms, each with large balconies. The apartment comes fully furnished, courtesy of the hotel. One bedroom has closets, a dresser and a full bathroom (with tub). A second, larger bedroom has a couch, chair, closet, table with four chairs and a second full bath (with a shower). This room can easily fit three cots, which the hotel brings in at no charge. Both rooms also have TVs and a hutch.
The kitchen has a view of King George Street and The Great Synagogue. The kitchen comes with a full fridge and freezer, stove, microwave, dishwasher, two sinks and tons of cabinet space.
To be clear: This is not a timeshare. We own the apartment outright. We can stay there 24/7 365 days a year. We can do improvements and change the configuration as we wish. But there are issues to explore in this regard.
First the hotel itself. There is a huge pool open April to October, free for owners and two guests, with a charge for additional guests. Food and drinks are available for purchase—there is a great bar in the hotel. There is a spa and a hairdresser in the building. Owners are entitled to a free parking spot. There is a shul on the premises for Shabbat and Yamim Noraim and Sukkot. The meals are considered some of the best of all the hotels and are under Rabbanut Yerushalayim hashgacha.They are expensive but an owner gets 25% off any meal.
Aside from all of the above, what we loved about buying here is the maintenance-free atmosphere. There is no need for a manager to look after the apartment when we are not here. The room is cleaned for us before we arrive. Clean towels and toiletries are provided throughout our stay. There is free Wi-Fi, free TV, free cable, and easy access to Netflix and other streaming services.
If we have any issue we simply call down to the front desk and it gets fixed. The kitchen is considered our private space and any work there is our responsibility. They will not clean our rooms unless we ask and there is a separate charge for that. Of course we have AC and heat 24/7 as needed.
There is a cost for utilities, which comes out to a little under $70 a day. Full use of the apartment, arnona (tax), and hotel capital-gains charges for improvements in the hotel are a little over $30,000 a year. Larger two - to three-bedroom apartment maintenance costs are more. The hotel bills twice a year.
Be aware that the Leonardo Plaza is currently undergoing a $35 million renovation with new furniture for the rooms and other improvements. I expect our maintenance cost will rise but have not received any information on this yet.
One major issue to mention is that all the above costs are for a full 365-day stay every year. However if you do not plan to be in the apartment full time, you can put the apartment in “the pool.” That means you give the Plaza the right to use the rooms for its guests. You get a minimal rental cost back from the hotel. However you only pay the $70 per night for the nights you actually stay in the rooms. In this regard you will have to give the Plaza 45-day notice when you plan to use the rooms and again you can stay whenever and however long you wish.
While you cannot leave anything in the rooms when you leave, the kitchen remains locked and cannot be used by any guests. So you can keep anything you want there perfectly safely until you return. You can let any friends or relatives use the rooms with the required 45-day notice. However, you are not allowed to receive any compensation from them. You may not charge them or rent it out yourself to anyone.
Some people with the larger apartments split them up and put some of their rooms in “the pool,” which lowers the maintenance considerably.
If the rooms are in the pool, you cannot make any changes to the rooms, apart from the kitchen. However if not in the pool the rooms are yours to add to, remove, change configuration, etc. If you ever sell and those buyers want to put the rooms in the pool, they will have to pay any costs aside from your payment to get the rooms back to their original state.
Other hotels like The Orient have a similar setup, and Lev Yerushalayim has weeks they sell for timeshare units. If you’re looking into Jerusalem living, check it all out. In the Plaza, two to four apartments go on the market every year. Good luck!
Howard Goldberg lives with his wife, Phyllis, in Fair Lawn. After teaching at Ramaz, he moved to New Jersey and was a middle school math teacher at Yavneh Academy for 35 years. During that time he ran a highly successful SAT course in Bergen County. He is now retired and loves spending time in Israel.
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