Lev Leviev-controlled Africa-Israel Investments Ltd. (TASE:AFIL; Pink Sheets:AFIVY) subsidiary Africa-Israel Residences Ltd. (TASE:AFHS) has begun construction of its 7 Harav Kook Street project in downtown Jerusalem. The project, next door to the historic Ticho House, will include 120 apartments and an 11-room boutique hotel. The company estimates sales at NIS 480 million.
The 21,000-square meter project connects to the Anna Ticho Garden, Museum and Cafe. The price of apartments will range from NIS 1.45 million for a two-room apartment to NIS 3.5 million for a 140-square meter five-room apartment. Africa-Israel Residences said that it has already sold 30 apartments in the project. Construction is due to be completed by 2013.
In 2008, Africa-Israel Residences demolished a historic building on Harav Kook Street to make way for the project, despite protests from environmental groups.
Africa-Israel Residences CEO Gilli Dekel said that the project was a desirable urban renewal scheme. "Jerusalem's city center is being renewed at a huge investment by the authorities to improve infrastructures, and renovate buildings to create an unforgettable experience that includes aesthetics, culture, and history.
Africa-Israel Residences share fell 1.8% today to NIS 61.02, giving a market cap of NIS million. The share of Africa-Israel, which owns 75% of Africa-Israel Residences, fell 1.1% to NIS 43.58, giving a market cap of NIS 2 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on January 17, 2010
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