Commercial news from Israel - 14th October 2024

Two factors make me fell OptimEstate

First: According to a survey conducted by the research and consulting firm Frost & Sullivan among dozens of investment funds in Israel, it turns out that despite geopolitical and macroeconomic challenges, the venture capital world in Israel shows impressive resilience with expectations for an increasing investment pace towards the end of 2024 and even more positive expectations for 2025.

Second: The tech sector thrived during the 15 years of low interest rates, but the global economic crisis and rising interest rates halted this growth. Now, with interest rates in the U.S. decreasing, the expectation that it will revive investments in the tech sector is growing.

The implication of these two factors, along with the anticipation of the end of the war and the active office searches by a significant number of tech companies in our office, leads me to believe that the movement of the leaves signals the direction of the wind, and we will see more and more lights shining at night in the new office towers that adorn the skyline.

Indeed, there is something globally unique about Israel. The Israeli character, the uniqueness of Israeli entrepreneurs, the Israeli intellect, the belief, and the impressive ability to function in uncertain and extreme emergency situations over time – all these are probably good reasons for optimism in tech, and as a result, in real estate as well. Hence, OptimEstate.

Commercial real estate in Israel

Blue Square Real Estate Ltd. entered into agreements for the purchase of the full rights for trade and employment and any other productive use, in the land in Bnei Barak, for NIS 60 million.

Commercial real estate overseas

A granddaughter company of Ashstrom Properties Ltd. entered into an agreement to purchase all the rights in an office building in the city of Leeds, England, in exchange for approximately 83 million pounds.

Skyline Investments Inc. has completed agreements to sell 11 Courtyard hotels for a total consideration of US$101 million.

Real estate in the headlines

Patrick Derhi purchased 94% of the Mandarin Oriental project in Tel Aviv for about one billion shekels (Calcalist).

The activity of the logistics parks accelerates the expansion in Europe (Walla Real Estate).

Guy is sure: after the war ends there will be a "boom", and this is the sector that will be positively affected (Globes).