josh007

Ampa Real Estate is in advanced negotiations to cooperate with the Elco Holdings (TASE: ELCO) group on an office building it's planning to erect on the corner of Yigal Allon and Tuval streets in Tel Aviv.



Real estate sector sources believe the project is worth about $150 million, in sales terms.



Sources in the know add that Ampa had been discussing selling the entire project to IDB (TASE: IDBH) to serve as a headquarters, but the talks fell through.



The project is on a five-dunam area on the Amcor site, for which there is a plan to build a 45-50 story skyscraper with built-up area of 50,000 to 60,000 square meters. The complex would have another 30,000 square meters built up underground.



Ampa has been seeking a buyer for the project for about a year. None of its negotiations came to anything. A year ago an American group proposed to buy the land for $45 million, and as said, lately there were talks with IDB too, which had sought a site to build "IDB House".
The talks on IDB's behalf were conducted through Property & Building Corporation (TASE: PTBL) (Nechasim Ubinyan) chairman Rafi Bisker. Sector sources believe that IDB was the one that terminated the talks, after concluding that the skyscraper's parking would not suffice.



Gershon Salkind's Elco entered the talks recently, with the idea that one of its subsidiaries, presumably Electra Real Estate, would become a partner in the project. No binding agreement has been signed yet.



Ampa and IDB declined to comment for this report.

Eyal

I had a feeling IDB might be interested in buying the already approved Ampa building.
If this means that we will get two towers (Ampa and IDB) then I'm happy.