Israeli billionaire Teddy Sagi's group is entering the co-working share workspace sector with a new international brand called LABS at selected locations in major cities around the world. The first location is slated to open this June in London, where Sagi's real estate business is located.
"Globes" estimates Sagi's wealth at $5 billion. His empire includes technologies companies Playtech Cyprus Ltd. (LSE:PTEC), the world's largest operator of platform-based software for online gambling websites, with a $3.5 billion market cap; SafeCharge International Group plc (AIM: SAFE), which develops clearance solutions ($418 million); and Crossrider Ltd. (AIM:CROS), which distributes apps ($95 million). His real estate business includes Market Tech Holdings, which operates the popular Camden Market in London ($770 million) and Holborn Links in central London, recently acquired for £300 million ($366 million).
LABS will operate large sites in attractive locations in selected cities around the world. The Sagi group is expected to unveil LABS' business strategy in June when it opens the first LAB site in Holborn in the UK. The co-working sector is not unknown to the Sagi group, but in launching LABS, Sagi is stepping up his interest, and also entering this sector in Israel for the first time. In Camden Market, Market Tech has for the past year been operating the successful Interchange site, home to over 1,000 startups. Sagi's idea with this site was to bring technology entrepreneurs to the shopping market, regarded as a sphere for young entrepreneurs. The Interchange area is slated to expand substantially over the coming year. Market Tech is planning on building more centers in the market that will have 3,000 startups within two years.
Sagi is not confining himself to London; he has co-working sites in Israel in his sights. His first site is slated for opening in Tel Aviv in late 2017 in the new Azrieli tower in Sarona, regarded as Tel Aviv's most prestigious business building. The site, which will occupy some of the highest places in the building, will cover 8,000 sq.m. The second site in Tel Aviv, scheduled for the first quarter of 2018 in the new Ha'arba'a Towers, will cover 4,500 sq.m. on the top floors of the towers.
The sites to be opened in Tel Aviv are not expected to be the only ones. The Sagi group is considering opening additional sites at various locations around Israel. Construction in Israel will be in consultation with Adv. Hedan Orenstein, the groups media advisor, and Elad Alon, who manages the group's real estate business in Israel. They are considering strategic cooperation between LABS and other concerns in the industry.
Published by Globes [online], Israel Business News - www.globes-online.com - on March 5, 2017
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