Harel, Ares buy London office building for £114.5m

The Fleet Street building is Harel's sixth real estate purchase in the UK.

Harel Insurance Investments and Financial Services Ltd. (TASE: HARL) and Ares Commercial Real Estate Group have bought an office building on London's Fleet Street for £114.5 million. Harel will own 49% of the building, and Ares will own 51%. Harel financed its share of the purchase from reserves against return-contingent liabilities (from life assurance policies and pension funds) and its nostro funds.

The ten-story, 17,000-square meter office building is fully leased to NBC, Dow Jones International, and Verizon Communications Inc. (NYSE: V).

“The fact that Ares has joined Harel as a partner in this acquisition is another statement about Harel’s professionalism and advantage in this sector and enhances our status as a leading player in the income-producing real estate investment sector in Israel and around the world,” said Harel head of real estate investments Gadi Ben Haim. “This marks the sixth real-estate transaction that Harel has conducted in the UK in recent years."

Published by Globes [online], Israel business news - www.globes-online.com - on September 29, 2013

© Copyright of Globes Publisher Itonut (1983) Ltd. 2013

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