Azrieli waives mall rents, sets up fund to help tenants

Azrieli mall

The company is setting up a NIS 100 million fund to assist its tenants, with an emphasis on small and mediums-sized businesses.

Following pressure from tenants and responses by its competitors, income-producing real estate company Azrieli Group Ltd. (TASE: AZRG) announced today the founding of a fund to provide NIS 100 million in financial assistance to its tenants. In its announcement to the Tel Aviv Stock Exchange, Azrieli, controlled by Danna Azrieli, said that it would set up the special fund immediately. The fund will use its money to maintain the economic security and business continuity of Azrieli's tenants. Azrieli also said that it would not charge rent in its malls closed down by government decision, starting from the middle of March, and was suspending rent starting in April.

Azrieli said that money from the fund would be provided through grants to tenants and loans on special terms, with repayment beginning only twelve months after the loan is granted, and being spread out over a long period corresponding to the tenants' lease period.

The group did not state which type of tenants were eligible for assistance from the fund, but added that it would soon publish the criteria for obtaining assistance from the fund, subject to the articles of incorporation, with an emphasis on small and medium-sized businesses.

Published by Globes, Israel business news - en.globes.co.il - on March 17, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

Azrieli mall
Azrieli mall
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