The Phoenix Holdings Ltd. (TASE: PHOE1;PHOE5) has submitted a bid to buy a lot with 60,400 square meters of space in the northern part of the Eleph district in Rishon Lezion. Phoenix's bid was the only one for the lot, but its winning of the tender still requires approval from the tenders committee, which is scheduled to discuss the matter in the coming weeks.
The Eleph site in northern Rishon Lezion is one of the leading business districts being marketed in Israel at the present time. Plans for site include 1.75 million square meters of office and commercial space, 5,400 housing units, and 110 dunam (27.5 acres) of parks. Half of the land reserves on the site belong to the Rishon Lezion municipality and half to private landowners. It is estimated that 100,000 people will work on the site and over 22,000 will live there.
The lot in the tender in which Phoenix bid (lot 5030) has construction rights for a number of buildings and a business and commercial zone with 355,570 square meters of built-up space (not including 225,555 square meters of underground service space). The minimum price set for the tender is NIS 310 million.
The Rishon Lezion municipality said that including this tender, over half of the space had been successfully marketed. The remaining lots will be marketed later. It is believed that technology companies and concerns will join the many parties expressing interest in moving to the Eleph site.
Rishon Lezion Mayor Raz Raz Kinstlich said in response, "The business sector is expressing great confidence in Rishon Lezion. The site's transportation access, combined with the geographic location and efficient and rapid public transportation, on which we are working constantly, will make the site extremely attractive in Israel, an advanced model for a mixture of uses from which the workers living on the Eleph site will benefit. 100,000 jobs that will be added will provide employment to all residents of the city, who will be able to work close to home and significantly improve their quality of life."
Adi Brook, CEO of the Eleph site, said, "The great interest in the tenders, combined with the large-scale public exposure to the site and its uniqueness, are proving themselves, and illustrate the great confidence in the Eleph site and recognition of its potential. At the same time, I am glad that the municipal concept and backing for the measures carefully planned by the administration are showing results. We will continue to emphasize innovation, accessibility, and mixed uses, which will have positive results for Rishon Lezion, Israel's new metropolis."
A number of large groups recently won a number of tenders in nearby lots with 320,000 square meters in total space. The winners included the Discount Group, with Israel Discount Bank, ICC-Cal, and Mercantile Discount Bank; Prashkovsky Investments and Construction; Amot Investments; Rogovin; and Jtlv2.
Published by Globes, Israel business news - en.globes.co.il - on December 17, 2019
© Copyright of Globes Publisher Itonut (1983) Ltd. 2019