June 27, 2018

Government Complex

Electra Will Build the Government Complex in Netanya at an Investment of NIS 250 million

The company won the tender for the project that will cover an area of about ​​4 dunams, including the construction of a 10-story building rising above three underground floors. The company will build and operate the government complex for a period of 25 years

Eran Azran

21.06.2018 16:13

Electra (90,860 + 0.29%), which is part of the Elco Group controlled by the Salkind family, reported today (Thursday) that it won the tender published by the Government Housing Administration for the Government Complex Project in Netanya at a total investment of about NIS 250 million. The company will finance, plan, construct and operate the government complex for a period of 25 years.

The construction of the project is planned for a period of three years and will be operated according to the BOT (financing, construction and operation) format, after which it will be operated under a license for a period of 22 years. This winning bid is in addition to Electra's winning bid in a similar BOT project for the construction of a student dormitories’ compound at Bar-Ilan University.

The government complex will be built on a plot of land located on Ben Zvi Boulevard in Netanya, covering an area of ​​about 4 dunams, and will include a 10-floor building above three underground floors. The government ministries will include the Income Tax Commission, VAT Offices, the Ministry of Health, the Population Authority, the Employment Service, the Ministry of Justice, the Rabbinical Court, the Ministry of Social Affairs, the Police, Immigrant Absorption, the Collection Authority and a detention room and an elevator for Rabbinical Judges.

 

Itamar Deutscher, Electra’s CEO, explained that the project is in line with Electra's ‘life cycle’ concept, i.e., handling a project from the stage of development of the idea, through its financing, construction, and up to long term operation, management and maintenance services. The Group is constantly examining its participation in other similar projects in order to expand the operations of its franchising arm".

Electra, one of the largest contracting groups in Israel, is traded on the stock exchange at a value of about NIS 3.25 billion. The Group currently operates through its subsidiaries, via five operating segments: construction and infrastructure projects in Israel, construction and infrastructure projects abroad, service and maintenance, development and construction of real estate as a developer and in the franchising sector.

Last month, Electra published its first quarter financial results for the first quarter of 2018, from which arises an increase of about 10% in the Group’s revenues to NIS about 1.54 billion. The company ended the quarter with an increase of about 21.7% in net profit to about 43.4%, next to accumulated works that reached about 10.34 billion NIS.

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