Commercial news from Israel - 03rd February 2025

While America Refocuses Inward, Israel Continues to Shatter Innovation Ceilings

As Donald Trump took the oath of office on January 20th, the scene was notable: CEOs of the world's largest tech companies—Elon Musk, Mark Zuckerberg, Sam Altman, Tim Cook, and Jeff Bezos—stood witness to his "America First" declaration. For Israel's tech sector and commercial real estate market, this might appear concerning at first glance.

The policy shift manifested quickly. Apple announced a massive $500 billion investment plan in the United States—new server manufacturing facilities, a doubled advanced manufacturing fund, and tripled R&D efforts in silicon engineering and AI. All creating 20,000 American jobs. All following strategic discussions between Cook and the new administration to align with their domestic-focused vision.

Yet despite these developments, Israel's innovation ecosystem shows remarkable resilience.

This week, I attended a conference that brought together luminaries like Eugene Kandel, Rubi Rivlin, Dana Azrieli, Ran Laufer, Adi Dana, and Sivan Blasenheim. What struck me most was a comment from the CEO of REACH Australia's acceleration fund: "The amount of talent concentrated in this conference hall tonight cannot be found in all of Australia."

This observation perfectly captures why Israel's tech sector will continue to thrive regardless of global policy shifts. Our "Start-Up Nation" mentality isn't just marketing—it's embedded in our approach to challenges.

Consider our track record: Iron Dome, Waze, drip irrigation, Disk On Key, Mobileye, ICQ—innovations that transformed industries and solved complex problems. These weren't created because conditions were ideal, but because Israelis excel at turning limitations into opportunities.

While other markets may feel the impact of America's inward focus, Israel's innovation ecosystem has consistently demonstrated its ability to adapt and breakthrough limitations. The reality is simple: our technological ingenuity and entrepreneurial spirit aren't constrained by political declarations—they're fueled by them.

Commercial real estate in Israel

Kardan Israel Ltd. transferred together with Geva Real Estate Ltd. a consideration for the option to purchase at least 75% of land in Tel Aviv, intended for the construction of a building for employment with an area of approximately 19,000 square meters. In exchange for exercising the option, the purchasers will pay approximately NIS 110 million.

Shemen Real Estate Maniv Ltd. entered into an agreement for the purchase of capitalized lease rights in real estate and a building in the Barkan industrial area in Samaria, designated for industry, a plot of land with an area of about 25 dunams and a building on it with a built-up area of about 15,500 square meters, in exchange for about NIS 90.7 million.

Commercial real estate overseas

A company of Sade Real Estate - Y.S. Ltd. entered into an agreement to purchase a yielding property with an industrial designation in Houston, Texas, at a cost of approximately 9.7 million dollars.

A partnership of Aloni-Hatz Properties and Investments Ltd. signed a non-binding memorandum of understanding, to transfer full ownership of 3 properties to JPM when they are free of any debt.

Real estate in the headlines

Congratulations to our friend Arthur Lishansky CEO of Blue Square Real Estate.

Timora purchased Magev Yam and MGS office tower in Holon for NIS 155 million (Calcalist).

Rosen and Fox sell the Jaffa Hotel to Fatal (Damarker).