A major tender will be published in the next few days for the design and construction of a NIS 150 million office tower, sources inform "Globes". Rad Bynet Properties, a subsidiary of the Rad-Bynet Group, owned by the Zisapel family, is about to publish the tender for construction on a three-dunam (0.75-acre) plot in Har Hotzvim in Jerusalem that it acquired years ago from the Israel Land Administration.
The tender includes both the design and construction of a 25-storey office tower occupying a 52,000-sq.m. area, with 16 storeys above ground and nine underground storeys. A typical floor will have 1,400 sq.m. of space. The underground floors are designed for parking (five floors) and a secure 14,000 sq.m. data center (four floors) that the company is planning to lease for advanced cloud computing services to defense industry companies, government companies, banks, insurance companies, etc. Sources inform "Globes" that no minimum price will be published for the tender; it is believed, however, that bids will be in the NIS 150-200 million range. The tender is slated to be closed by the end of the year.
After the office tower is built, Rad-Bynet plans to lease the office floors. According to the current marketing plan, rents are expected to be NIS 55 per sq.m. in shell condition. The Adam Amit Consultant Group project management company will manage the construction, and the architects will be the Spector-Amisar-Shauer firm.
The Har Hotzvim high-tech park in northern Jerusalem contains mostly high-tech and biotech industries. Companies operating in the park include Cisco Systems, Intel, Teva Pharmaceutical Industries Ltd. (NYSE: TEVA; TASE: TEVA), Medinol, and Mobileye(NYSE: MBLY). More than 10,000 workers are employed on the site. Rad-Bynet has other properties on the site; as of now, the properties it constructed and manages have a total of 300,000 sq.m. These properties include Bynet Jerusalem House, a 20,000-sq.m. office building; Jerusalem of Silver House, a 30,000-sq.m. office building; and RAD Jerusalem House, which has 22,000 sq.m. in office space.
Rad-Bynet confirmed the paticulars, and Rad Bynet Properties CEO Ronen Ayalon added, "In recent years, the Jerusalem Municipality and the Jerusalem Development Authority have encouraged businesses to move to the city and its environs, and are allowing a series of benefits and grants for high-employees and business owners. The planned data center in the project will be one of the largest in the Middle East, and can provide backup for the systems of major companies in the economy."
Published by Globes [online], Israel business news - www.globes-online.com - on September 30, 2014
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