Aviv Group Acquires Lieber Tower for NIS 200m

The Lieber Tower project situated at 39 Pines Street right next to the Neve Tsedek tower and that became a symbol of the struggle between the residents of Neve Tzedek and luxury tower developers has just changed hands. Aviv Group, controlled by Doron Aviv and Dafna Har Lev, announced today that it has signed an agreement to acquire the complex from Moshe Gavrieli of Intercolony Investments. Aviv will pay about 200 million shekels upfront with a potential extra 10m if flat sales to June 2011 reach NIS 512m.

The current approved plan is a tower of 28 floors with up to 150 apartments. At this point however, the company only plans to bring 105 apartments to market. In May 2009, the local planning and building committee approved construction of a high-rise on the site of the former Lieber chocolate factory south of Neveh Tzdek. Preliminary plans for the project were developed by world-famous architect Daniel Libeskind in collaboration with local architect Rani Zis. The planning for the project has since been taken over by architect Avner Yashar who is also overseeing the Rothschild Ehad and White City Residence projects. Apartments in the tower have been selling so far at prices ranging from NIS 40,000 to NIS 60,000 depending on location.

Aviv Group reports that even before signing the deal 80 apartments totaling NIS 480 million had already been sold. The company estimates that revenues from the project will reach over NIS 560 million. Doron Aviv, Aviv Group Chairman, commented: "Aviv's real estate activity is concentrated in areas where there is high demand. I believe that Tel Aviv, especially in the south, presents us with great business potential and I have no doubt that the area's strategic location will generate great interest among potential buyers as evidenced by the early sales".

Source The Marker