The Israel Land Administration has initiated an innovative approach to expand the available land for building in Arabe. In the first stage a general plan was conceived on agricultural land owned by Arabe, located to the east of the existing town. The second stage consisted of an architectural competition focusing on two neighborhoods in the general plan. The architects were asked to develop ideas for a semi-urban settlement which would provide 4.5 housing units per dunam gross. The units would be designed to meet quality of life expectations of the population: apartments of 200 sqm, minumum two parking spaces per unit, private entrances and adjacent gardens. The new neighborhood would provide living space for the younger generation wanting to remain in town and whose parents do not own buildable land. After the competition a pilot project was launched to test the feasability of the results. The apartments derived from the building rights of lands held by the ILA were concentrated in higher density along the main road arteries. These units would be built in a pre-defined time frame. The apartments derived from private lands were located in low density areas behind the higher density units and would be built at the discretion of the owners. In such a way an inviting environment can be created in a short period of time to serve as an attractive incentive for the younger generation.