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Leyla Sepic
Leyla SapicAssociate Editor

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Israel Expands Tourism Infrastructure With New Hotels and Major Investments

Jul 15, 2026
Airports  Hotels and Resorts  Middle East  Travel News  
heroisrael
Israel welcomed 34,700 visitors from the United States and Canada in June 2026.
Credit: 2026 allegro60/stock.adobe.com

As international travel to Israel continues to recover, the country is reinforcing its long-term commitment to tourism through major investments in infrastructure, hospitality and visitor experiences.

In June 2026, Israel welcomed 34,700 visitors from the United States and Canada, a 73% year-over-year increase.

Across the country, Israel is expanding tourism infrastructure, developing new hotels and attractions and investing in projects designed to enhance the overall visitor experience. Recent initiatives include a $12 million investment by the Israel Ministry of Tourism (IMOT) to strengthen tourism infrastructure in Eilat. The country is also modernizing Ben Gurion Airport and just opened a new cruise terminal in Haifa.

Opened in May, the terminal can accommodate two mega-ships simultaneously and can serve up to 1 million passengers annually.

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At Tel Aviv’s Ben Gurion Airport, Terminal 3 is undergoing an expansion that includes a new eastern passenger terminal, a two-level underground facility for baggage and security screening, new airline check-in areas, restaurants, offices and commercial space all designed to increase processing capacity and improve the overall passenger experience.

New Hotels

Israel is also investing approximately $1 billion into new hotel developments, reflecting growing demand for luxury accommodations and supporting the country’s expanding tourism sector.

RELATED: International Visitors Give U.S. Vacations High Marks

Among the newest additions is The Yacht by Fattal Hotel Group, which opened in June 2026 on the Herzeliya Marina. The 325-room property features two swimming pools, a lobby bar, an outdoor restaurant, a contemporary spa, a gym and a wellness center.

In Ma’ale Adumim, Kassland opened in May 2026 as a new 220-room, all-season resort complex combining a luxury hotel, a thermal spa and an indoor waterpark. The property’s Atlantis Spa features 20 pools, underwater massage jets and waterfalls, while the Kass Splash waterpark offers 18 waterslides, including the longest indoor-tube slide in the Middle East, along with an arcade and restaurants.

Looking ahead, Brown Hotels and Ben Gurion Airport are developing the area’s first five-star hotel, set to open in 2028. The seven-story hotel will include 260 rooms, a rooftop complex, a swimming pool, spa and conference center.

Also slated to open in 2028 is a new 217-room property in Eilat, which will feature a suspended pool between two 16-story towers, a fitness center and rooftop bars overlooking the Red Sea.

Tourism Investments

Beyond hospitality, Israel is investing in projects that diversify and strengthen its tourism offerings.

RELATED: Navigating Travel Amid Global Conflicts

The Ministry of Agriculture and Food Security and the Tnufa LeZafon Directorate have announced a $3.5 million investment to expand agrotourism across the Galilee region through 2029. The initiative will transform the region’s mountains, farmlands and rural communities, allowing visitors to connect directly with local farmers through self-picking orchards, interactive farm tours, hands-on culinary workshops and innovative visitor centers showcasing fresh produce.

The IMOT is also investing $12 million in Eilat to strengthen tourism infrastructure, support the city’s growth as one of the country’s leading tourism stops, improve quality of life for residents and increase inbound tourism.

"Israel has always been a destination where history, culture and innovation come together, and the investments being made today ensure that experience will be even more meaningful for future visitors," said Yoram Elgrabli, tourism commissioner for North America at the IMOT. 

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