Income producing real estate company Melisron Ltd. (TASE: MLSR), controlled by Liora Ofer, has entered the residential real estate sector by acquiring a 50% stake in Aviv Development and Construction, which specializes in building housing units and urban renewal.
Aviv Development and Construction, which will now be jointly owned by Melisron and the Aviv Group, will focus on the development and construction of projects involving thousands of housing units for sale and long-term rental.
Melisron will pay NIS 600 million for its stake in Aviv, including an injection of NIS 450 into the jointly-owned company with a further NIS 150 million payment to the existing shareholders.
Aviv Development and Construction is a subsidiary of the Aviv Group, which focuses on development and construction mainly in the Tel Aviv Metropolitan area. The company is owned by the Aviv family and headed by chairman Doron Aviv and CEO Dafna Harlev, the children of the late Moshe Aviv, after whom the tower in Ramat Gan is named.
Melisron CEO Ofir Sarid said, "The investment in Aviv Development is part of the realization of Melisron's strategic plan. As part of this, we are working to diversify our investments and expand our activities to additional areas in the real estate world, which have synergy to our existing activities."
Published by Globes, Israel business news - en.globes.co.il - on May 26, 2022.
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