Properties and building Yesterday completed the transaction for the sale of a property in Tel Aviv to the Delek Properties-controlled partnership Blade L.R. And to the company Regions Controlled by Hershey Friedman. The property was sold for NIS 390 million and its sale resulted in assets and a net profit of NIS 282 million, which will be recorded in the fourth quarter reports of 2021.
Yesterday, the buyers paid the amount to the seller and possession of the property passed into their hands. This is land on an area of about 3.87 dunams on 41-43 Hamsger Street in Tel Aviv, on which a five-story yielding office building is built.
Delek Properties and Areas intends to act for the approval of a new city building plan (master plan) for real estate, which will increase the building rights in the land and allow the construction of a 40-story tower. The planned tower will include mixed use of commercial, employment and residential areas. 50 thousand square meters.
According to the buyers, this is privately owned land that is one of the last land reserves, in a very attractive location, in the heart of Tel Aviv’s business center. The land is close to two lines of the light rail and major arteries.
On the land, there is a property that yields rent and management fees amounting to NIS 6.7 million per year, which will allow the purchasers to finance the land during the planning period. The total estimated investment in the project amounts to approximately NIS 900 million (100%, including consideration for the purchase and purchase tax).
Felix Schoffman, CEO of Delek Properties, and Ron Avidan, CEO of Azorim, stated that “We are pleased with another huge deal as part of our cooperation. This deal reflects the joint strategy of the two companies – a winning combination of Delek Properties, which identifies development opportunities in most profitable properties. , At attractive prices in quality locations and areas of demand, with areas, a leading brand in the residential areas with knowledge in the field of planning, marketing and branding projects.
“We are confident that the continued cooperation between the companies will lead to more opportunities. There is no doubt that the demand for commercial space, employment and residential offices in Tel Aviv in general and in this area in particular will increase and Delek Properties will establish a unique project that responds to these demands.”