Arnon, Tadmor-Levy law firm has signed a leasing agreement with Azrieli Group (TASE: AZRG) for three more floors and extended its existing leasing agreement. Azrieli Group is now leasing nearly 15,000 square meters of office space in the Azrieli Center square and round towers for the next 10 years, with an option to extend.
Until now Arnon, Tadmor-Levy has leased 10,600 square meters in the round tower and is now leasing 4,155 square meters on three full floors in the square tower, which is being vacated by IBM Israel's development center. IBM has laid of employees and has told "Globes" that it is consolidating its development center in the Shahar Tower in Givatayim near the Ramat Gan Diamond Exchange.
Market sources estimate that rents in the Azrieli towers are between NIS 130 and NIS 150 per square meter per month, depending on the level of finishing. According to this estimate Arnon, Tadmor-Levy will pay Azrieli Group NIS 1.95 million per month, NIS 23.4 million per year and NIS 234 million over the 10-year lease.
Goldfarb Gross Seligman, another large law firm that is a tenant in Azrieli Towers recently extended its lease by 10 years, while accounting firm Deloitte, which leases 15,000 square meters, is currently extending its lease by 15 years.
Arnon, Tadmor-Levy was formed in 2022 from the merger of Yigal Arnon and Tadmor Levy and is one of the biggest law firms in Israel with 600 employees including 450 lawyers and interns. The firm also has thousands of square meters of office space in Jerusalem.
Azrieli Group and Arnon, Tadmor-Levy told "Globes" that the lease extension for such a long period represents a vote of confidence and continuing partnership."
Published by Globes, Israel business news - en.globes.co.il - on September 27, 2023.
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