IDB Holding Corp. Ltd. (TASE:IDBH) unit Property and Building Ltd. (TASE: PTBL) has decided not to bid in the tender for the Tel Aviv wholesale market project. The company declined to say why it withdrew, but after reading the tender terms, it apparently decided that the project was not worthwhile.
Last week, Property and Building announced that it intended to participate in the tender, saying that it would do so through subsidiaries Bayside Land Corp. Ltd.(Gav Yam) (TASE: BYSD1) and Neve Gad Ltd., in partnership with a third party. The third party was reportedly Gindi Investments Ltd.
The Tel Aviv Municipality published a new tender for the wholesale market site two months ago, after the previous tender was suspended last year. The 55 dunam (16 acre) site, between Carlebach Street, Hahashmonaim Street, and Menachem Begin Road, is zoned for 1,800 luxury apartments in four 40-storey towers and another five 12-storey buildings, around a large park. The development will also include 30,000 square meters commercial space, 25,000 square meters of office space, and public buildings. The Tel Aviv Municipality owns 25% of the site, Tnuva Food Industries Ltd. owns 60%, Shraga Biran owns 6%, and wholesalers who used to operate there own the rest.
The main bidders for the lot are grouped in two consortia:
Published by Globes [online], Israel business news - www.globes-online.com - on November 26, 2009
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