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Mivne Gazit has acquired the share of Paz Oil Company Ltd. (TASE:PZOL) in an office building on Yigal Alon St. in Tel Aviv for NIS 34 million, sources inform "Globes." The two companies had a partnership for many years in the office building on a lot at 148 Yigal Alon St.

The 3.5-dunam (0.875-acre) lot currently contains a four-storey office building built in 2001 and designed by Lerman Architects. All the office floors are occupied. The lot also contains a Paz filling station and convenience store, which Paz will retain. Sources also inform "Globes" that the company previously promoted an Urban Building Plan for adding 16 floors above the existing structure, and even took out a building permit for its construction, but the project was delayed by disagreement between the partners. Now, after acquiring Paz's rights in the building, Mivne Gazit plans to go ahead with construction of the additional storeys.

Mivne Gazit VP marketing Roni Carmon told "Globes" today that the additional floors that the company was planning to build above the existing structure would contain only office space, which Mivne Gazit planned to sell, not lease. The price per sq.m. in the building is expected to vary from NIS 12,000 per sq.m. to NIS 14,000 per sq.m. in shell condition. Mivne Gazit also said that because it was only necessary to renew a building permit it had already obtained before, it believed that the process would be quicker than the usual process at the Tel Aviv municipality. The company plans to be both the developer and the performance contractor for the project. Beit Mivne Gazit is located in northwestern Tel Aviv. Various projects, including high-rises, are being built or planned for future construction nearby.

Among other things, these include a 28-storey project slated for construction by a purchasing group near Beit Kardan and a midtown project with two 50-storey buildings: one for housing and one for offices. p>Published by Globes [online], Israel business news - http://www.globes-online.com - on January 21, 2015

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Mivne Gazit to build Tel Aviv office high rise

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