Lev Leviev
צילום: סיון פרג'
Israeli billionaire pays $426 million for Manhattan building
Africa Israel subsidiary buys half of historic New York property; plans to renovate building, put apartments up for sale
A subsidiary of real estate company Africa Israel, owned by Israeli billionaire Lev Leviev, has purchased half of the Apthorp building in Manhattan's Upper West Side for $426 million.
163 apartments for rent covering an area of 32,000 square meters, and 2,600 square meters of commercial areas.
The Apthorp is an historic full-block apartment building, which contains
אפריקה ישראל בניין היסטורי במנהטן
The asset also has 6,000 square meters of unused development rights, and yields $11.7 million annually.
The company plans to renovate the building, expand it in accordance with the existing development rights, and transform it into a luxury apartments building, which will be put up for sale within five years.
The cost of the renovations is expected to stand at $95 million. Because the building is a historic property, the company hopes to receive significant tax benefits on its investment.
The acquisition will be partly financed by the company's equity capital (50 percent), and partly by loans from foreign banks. The banks have also agreed to furnish the company with an additional $177 million, which will be mostly used for developing and restoring the building.
