Microsoft has completed a lease for its new campus in Herzliya Pituah. The company will rent an entire building currently under construction from Israel Canada ITR) Ltd. (TASE:ISCN), Tidhar Group, and Acro Real Estate.
The three owners bought the land in May 2016 for NIS 200 million. A report to the Tel Aviv Stock Exchange (TASE) today by Israel Canada, which owns 22% of the land, shows that the project, to be called Sea Tower, will have 44,000 square meters in gross space on 10 floors, 4,000 square meters per floor, plus 875 stores and storage rooms. Microsoft will rent the building shell condition, and adjust it to finishing level by itself. Rent will be NIS 53 million a year. Microsoft is also expected to move its office activity, currently spread among several different buildings in Herzliya Pituah, to the new campus, and to manage the building itself.
Israel Canada and Acro also the Bank Leumi (TASE: LUMI) building at the intersection of Herzl Boulevard and Yehuda Halevi Streets in Tel Aviv in June for NIS 277 million.
Israel Canada today reported that together with its partner, it would lease the building to Bank Leumi for two years at NIS 500,000 a month. At the same time, the two companies are also promoting a new plan for the lot under Plan TA/5000 for construction of a 40-storey tower with 30,000 square meters of office and residential space. Under the plan, designed by architect Avner Yashar, the tower will have 30 floors of offices and 10 floors of residences.
Published by Globes [online], Israel Business News - www.globes-online.com - on December 3, 2017
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