Success Stories

	Israel Description of Service A group of individuals who inherited a plot in the Sharon region consulted with us on options for realizing their rights regarding the property. The Process Following an examination of the planning status, a survey of demands and prices of comparable properties in the area, we investigated several options: selling the plot "as is", JV with a developer, increasing building rights through a planning procedure, developing a residential project independently. Result After conducting a financial analysis that took into account the demand data, sources and costs of funding, tax considerations and the owners’ goals, the best possible option was chosen for them: selling the plot.

	Germany Description of Transaction Purchase of an office building in a sale and lease back transaction in a secondary German city. The property was leased for a ten-year period to a global communications company. Investment Considerations Macro Location: demographic characteristics and forecasts for the city indicate long-term population growth as the city attracts students and offers varied employment opportunities for residents. Micro location: very central, in the heart of the city, adjacent to the train station and commercial centers. Alternative purposes: residences, hotels or student dormitories. Price per sqm: reasonable, even lower than replacement cost. Result Attractive yield: NIY approx. 8%, cash on cash approx. 12%.

	Germany Description of Transaction Purchase of a building in a secondary German city for mixed use – retail on the ground floor, office and residential on the upper floors. Investment Considerations Location: in the city center, on a bustling pedestrian street. Appreciation: at the time of purchase, the ground floor of 800 sqm was rented to a number of small local retailers at a low price relative to the market. After the purchase, a plan to enlarge and restructure the ground floor was being approved by local planning authorities. The existing tenants vacated the premises, and a 1,500 sqm space was leased to a large chain of supermarkets. Result The considerable rent increase allowed investors to repatriate much of their invested equity in a short period, and to enjoy high ongoing yields with future appreciation.

	Warsaw, Poland Description of Transaction Purchase of an old office building of approx.4,000 sqm in central Warsaw. Investment Considerations Location: in the heart of the Central Business District [CBD], adjacent to the central train station and to major traffic hubs. Tenant: most of the premise is rented to social welfare authorities for a short period. Enormous potential for appreciation: in the last decade, the planning authorities approved the development of 50 to 80-story towers for office, residential and hotel uses in the area. Result A plan submitted to the planning authorities for increasing building rights to 60,000 sqm for office and residential uses is in the advanced stages of approval. The existing building is producing a decent yield. Developing a tower of 60,000 sqm shall increase tremendously the yield and the value of the property.

	United States Description of Transaction Purchase of a residential building in a major city, in which most apartments are rented at prices under regulatory supervision. Investment Considerations Location: prestigious and popular neighborhood. Appreciation: change in legal status [condo conversion] of building and tenants "buyouts" allow for sales of apartments at market prices. Result Realization of the business plan reflects high profits for investors and repatriates the invested equity in a short period.