Sources inform ''Globes'' that that Gazit-Globe Ltd. (TASE: GLOB) subsidiary Gazit Globe Israel Ltd. is in talks to buy Tel Aviv’s Gan Ha’Ir Mall from Shlomo Eliahu and the Schechter family for NIS 450 million, plus costs. The price tag reflects a return on investment of 6%. Gazit Globe Israel declined to comment on the report.
Azrieli Group, British-Israel Investments Ltd. (TASE: BRTS) and Amot Investments Ltd. (TASE:AMOT) have also expressed an interest in Gan Ha’Ir.
The high-end 21,000-sq.m. Gan Ha’Ir, adjacent to the Tel Aviv municipality on Ibn Gvirol St., was opened in 1988, and includes one of the city’s first luxury high-rises, with 20,000 sq.m. of space.
Gazit Globe Israel owns six malls with an aggregate space of 79,000-sq.m. They include the Mikado Center in Tel Baruch, the Horev Center in Haifa, the Rothschild Mall in Rishon LeZion, and the Afula Mall. The aggregate rent was NIS 34 million in 2006.
Published by Globes [online], Israel business news - www.globes.co.il - on August 5, 2007
© Copyright of Globes Publisher Itonut (1983) Ltd. 2007