Who Is Hagag Group? The Israeli Developer Entering Sea Breeze in Baku

On August 24, 2026, it was reported that Hagag Group, a publicly-traded Israeli real estate developer best known for a large-scale project on the former Sde Dov airport site in Tel Aviv, had signed memoranda of understanding for two residential projects within Sea Breeze, the resort-city on Azerbaijan's Caspian coast near Baku. This is a move worth understanding clearly: who Hagag Group actually is, what was signed, and what is not yet settled.

Who Is Hagag Group

Hagag Group is a publicly-traded Israeli real estate company, known in Israel primarily for its involvement in the redevelopment of Sde Dov — the former airport site in northern Tel Aviv now being turned into a large new residential neighborhood. Beyond that, detailed public information about the company's broader corporate history, precise ownership structure, or the full scope of its activity outside that project is not part of the verified record available here, so it's worth treating the company primarily as a recognized, publicly-traded developer rather than assuming additional unverified details.

Sde Dov: The Project the Company Is Known For

Sde Dov is one of the larger and more prominent development efforts in Tel Aviv in recent years — converting a former airport site into a new urban neighborhood. Hagag Group's involvement in this project is, as far as is known, the main reference point behind its recognition as a large-scale developer in the Israeli market. Further details on any other Israeli projects the company may have are not part of the verified information covered here.

The Move Into Sea Breeze

According to the report from August 24, 2026, Hagag Group signed memoranda of understanding (MOUs) — a preliminary, non-binding form of agreement, not a final contract — for two residential projects within Sea Breeze, the large resort-city development along Azerbaijan's Caspian coast. It's worth being precise here: Sea Breeze itself is an existing, large-scale development built and operated primarily by a separate, unrelated company, Agalarov Development. Hagag Group is not initiating or building Sea Breeze as a whole; it is reportedly acquiring and developing specific plots within the project's existing masterplan. This is Hagag Group's first reported move into the Azerbaijani market.

What the Deal Reportedly Covers

The reported scope of the two projects is substantial: roughly 3,500 residential units, approximately 358,000 square meters of built area, and a land cost of up to about $93 million. According to the report, Hagag Group is set to hold roughly 80% of the project, with a local partner holding the remaining 20%. These figures were reported at the memorandum-of-understanding stage, not as terms of a signed, final contract — they may change as the process continues.

What's Confirmed and What Isn't Yet

A memorandum of understanding is not a binding agreement. According to the report, due diligence is expected to take place "in the coming month" — meaning September 2026 — and only after it concludes, and depending on its outcome, could the agreement become binding. Until that stage is complete, there is no certainty that the deal will proceed at the scope, terms, or timeline reported so far. Anyone following this development should look for further official updates from the company or the parties involved before treating the deal as settled.

Why This Matters for the Baku Market

Sea Breeze has so far been built primarily by a single developer. The entry of a recognized, publicly-traded Israeli developer with a significant project behind it into the project's masterplan — even at the memorandum-of-understanding stage — is a signal that the development is drawing interest from developers beyond the group that originally built it. That said, this remains an early stage: the fact that a known developer has entered the picture does not, on its own, guarantee the execution, timeline, or success of the specific project it may end up building, which will depend on details that only become clear once due diligence is complete and a binding agreement is signed.

To see where prices in this area stand relative to the rest of Baku, there is the price per square metre index by district.