| |
Israeli real estate group buying New York flats
Eldan-Tech Ltd purchasing additional 329 apartments in Big Apple for USD 24.2 million; ‘We will consider a plan to convert some of buildings into condominiums,’ CEO says
Naama Sikuler
Eldan-Tech Ltd., an Israeli real estate group controlled by Yossi Bodenstein, is purchasing an additional 329 apartments in New York for USD 24.2 million.
The acquisition will bring the number of flats owned by the group in the Big Apple to 700.
Last summer Eldan-Tech purchased 372 apartments in the Bronx for rental purposes for an estimated USD 24 million.
In the current deal the real estate group is buying eight buildings – seven in the Bronx and one in Manhattan. The rate of return on 93 percent of the apartments that are currently being rented out stands at 12.4 percent (gross), and is expected to reach 13.6 percent within a year’s time. The net income is expected to reach USD 360,000 a year.
The buyers will receive a loan worth 80 percent of the total investment from an American bank.
“We also expect capital gains on the investment due to the increasing demand for apartments in New York in general and for low-cost apartments in the Bronx in particular,” Bodenstein said.
“In the future we will consider a plan to convert some of the buildings into condominiums in order to sell them at prices that would yield capital gains.”
|
RSS
