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Real Estate Law · 22 August 2023

Why the arsa–arazi distinction matters in expropriation cases

A mistaken characterisation diverts compensation at the root. This distinction is the spine of the expert report.

For arsa character, comparable sales and development rights come to the fore; for arazi character, objective yield and agricultural income. A municipal boundary does not of itself mean arsa. Cadastral character may conflict with zoning and actual use.

A judgment given before that conflict is resolved is frequently reversed on appeal. The right characterisation in the client’s interest is not merely a higher figure; it is a reason that can stand on authority.