Sources inform "Globes" that Melisron Ltd. (TASE: MLSR), controlled by the Ofer Brothers Group, is in initial talks to sell three malls: the Lev Ashdod mall, Hatzafon mall in Nahariya, and Savyonim mall in Yehud. Negotiations are currently being held with a private entity, that recently visited the malls. The value of the three malls is about NIS 660 million.

Savyonim mall in Yehud is one of the malls that Melisron is committed to sell within two years, as part of a restriction imposed by former Israel Antitrust Authority Director General Ronit Kan. As part of this agreement, Melisron must also sell the Grand Kanyon mall in Haifa and the Renanim mall in Ra'anana.

Savyonim mall is 11,500 square meters big, and is worth NIS 189.4. In 2010, the mall yielded NOI (net operating income) of NIS 15.2 million.

Despite the short amount of time available, Melisron is interested in selling the mall immediately. Melisron could offer for sale a package of assets that would provide a potential buyer with a broad entry into the field, or alternatively significantly deepen their hold in the mall sector.

Just two months ago Melisron completed its purchase of British-Israel Investments Ltd. (TASE: BRTS), through which it acquired a broad portfolio. It now appears that Melisron is interested in selling two of the assets held by British-Israel - the Lev Ashdod mall and Hatzafon mall in Nahariya.

Published by Globes [online], Israel business news - www.globes-online.com - on June 22, 2011

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