Tel Aviv and Central Region
The Global investment bank has purchased 600 sq.m. in the David House project in Petach Tikva, from the Miga company. The bank will pay $1.23 million or $2,050 per sq.m. The relatively high price is because the ground floor is intended to house a bank branch office. Miga is owned by French investors.
The bank is owned by the publicly traded Binyan Mortgages company, of whom 83% is owned by contractors Yisrael and Tzur Adler. The bank’s offices will be moved to the new location from their present location not far away. General Manager Gamliel Weisbach explained the bank would either purchase or rent space in Tel Aviv in the near future.
Entrepreneur Ran Shmueli has rented 120 sq.m in the commercial center adjacent to the western Ramat Hasharon Sports Center. Shmueli will pay $25 per sq.m per month, dollar-linked. The two-year contract includes two options, each for an additional two years. If an option is exercised, rent will increase 5%. Shmueli will invest $200,000 in renovations and open a delicatessen, similar to the one already open in Tel Aviv’s Gan Ha’ir.
The Formula group has rented an additional 1,500 sq.m in the Herzliya Business Park project from Leumi and Ladbrokes of the UK, at $16.5 per sq.m per month, index-linked. The five-year contract includes an option for an additional five years. Formula already rents space in the building at that rate. With this contract, rental of the Park’s first two buildings is almost complete, with 13,000 sq.m leased out and only 400 sq.m remaining.
A lawyer has leased 70 sq.m, located on the 11th floor of America House in Tel Aviv, from the America-Israel Chamber of Commerce. The lawyer will pay $1,600 per month or $22.8 per sq.m. The deal indicates stability for well-situated office space.
Contractor Meshulam Levinstein has offered to sell a 1,000 sq.m space, covering an entire story, to the Israel National Coal Company for $2,950 per sq.m. Previously, it had been reported the Coal Company was in advanced negotiations to purchase the third floor, in Beit Platinum in Tel Aviv at $3,250 per sq.m.
Bank Leumi has purchased 330 sq.m on the ground floor of Maritime (Sapanut) House, near the Yad Eliayahu sports stadium, for the purposes of opening a bank branch. The bank will pay owner Raylon $4,000 per sq.m. Raylon is owned by Yossi Bodenstein (50%), Jerusalem air conditioner company Calorit (25%), and an investor group (25%).
Petach Tikva’s Matalon Area Picks Up
Three communications companies are in separate negotiations for rental of Matalon Center, a new office and commercial building in Petach Tikva. Estimates are that the final lessor will pay $2.7 million per year.
A private investor has purchased 360 sq.m in unfinished office space from contractor Moshe Ne’eman, located in Kiryat Matalon, Petach Tikva, at $1,380 per meter. The investor has also purchased 4 parking places at $11,000 apeice. The deal reflects a 15% decline in prices, in real terms, compared to 1995.
Communications equipment manufacturer Ofakim has leased 250 sq.m in Kiryat Matalon from developer Oded Amit. Ofakim will pay $13.5 per sq.m per month, index-linked, on a three-year contract with an option for an additional three years.
Jerusalem
A Jerusalem-based public accountant has purchased 185 sq.m in office space in Shenhav House, now under construction in Givat Shaul in Jerusalem. The accountant will pay $1,825 per sq.m for unfinished offices. The price indicates stability for both prices and the project. Shenhav House is owned by Yiztchak Pritzker (45%), Dori Dankner (45%) and Ambassador Real Estate (10%), which also markets the building.
The Northern Region
Clal Insurance has leased 540 sq.m in the Acre industrial park from Elrom, owned by developer Eli Sadon. Clal Insurance will pay $6.75 per sq.m per month, index-linked, on a ten year contract. The company will open its tenth service center in the space, offering immediate service to insured vehicles which have been in accidents. The Elrom park, located on a 10 acre (40 dunam) area, is being built in two stages. The first is a 12,000 sq.m area at an $8 million total investment. The second stage will be an additional 13,000 sq.m.