Two major rental agreements for Gav Yam in Haifa, offices and logistic centers: The company announced today (Thursday) that it has signed a rental agreement with technology giant GE Healthcare, renting ~6,000m² in the Matam Towers project in the eastern part of the city for ten years for a total of ~60M NIS – approximately 6M NIS per year.
The space will serve GE Healthcare both for offices and for operating a development center consisting of labs, where the company develops and manufactures imaging equipment for cancer detection, exported around the world. The rental agreement was signed by Gav Yam’s subsidiary, Matam.
The Matam Towers East project is currently being built at Matam Park Haifa and, upon completion, it will consist of two structures covering a total of 93,000m². The entire park is considered the largest in Israel, covering over 270,000m² of constructed area, rented to ~70 different companies employing ~12,000 workers. The park is fully occupied, yielding ~140M NIS per year.
Erez Levy, CEO of GE Healthcare Israel: “Renting the space at Matam East reflects a declaration of GE Healthcare intentions, establishing the company’s global molecular imaging development and production activities in Israel. The company considers Israel a home and invests a great deal in improving the working conditions at the development center. Global management thus recently decided to transfer the development centers for two division – Pet-CT and SPECT – from Tirat HaCarmel to the advanced science park in Matam.
And despite – perhaps even because of – the complex period that Israel and the world is experiencing, approving a strategic project of this scope demonstrates confidence toward the employees and the scientific system in Israel.
Beyond that, it reflects the strategic intentions of global management, most of which operates in Israel. And despite – perhaps even because of – the complex period that Israel and the world is experiencing, approving a strategic project of this scope demonstrates confidence toward the employees and the scientific system in Israel.
Avi Jacobovitz, Gav Yam CEO: “The bleak prophecies appearing in the media regarding the future of the office industry are not what they seem and they do not correspond with reality as we experience it. The international companies do not give up their development centers, which are the core of their operations. The office world is here to stay. Gav Yam is currently conducting negotiations, some in advanced stages, with international and Israeli companies toward renting tens of thousands of new m². Israeli hi-tech is showing continued growth”.
Renting 11,000m² of logistic center space for 5M NIS per year
Alongside this agreement, Gav Yam announced last Tuesday that it signed a significant rental agreement for a logistic center of ~11,000m² with Millennium Services and Logistics at the Gav Yam Logistics Park at the Haifa Bay. Gav Yam reported that handover of the logistic center to Millennium is expected this October and it will begin operating and providing services within the next few months. It is a 5-year rental agreement in consideration of ~5M NIS per year, or a total of 25M NIS.
The new logistics center will provide services to various customers, including Coca Cola and Tempo. Gav Yam updates that it is currently leading the initiation of eight projects covering ~290,000m² (company share ~234,000m²) at a total of 1.7B NIS.
After announcing the agreement, Avi Jacobovitz, Gav Yam CEO, said: “Gav Yam has set its objective on expanding its logistic center operations adjacent to the main transportation routes and consumption centers. This sector provides an additional and stable growth engine and is earmarked as one of the future anchors.
The logistic center industry is expected to grow alongside the expansion of e-commerce, which is redesigning the consumption habits and setting further growth in imports to Israel, requiring the establishment of advanced, high-rise and robotics-based logistic centers”
The logistic center industry is expected to grow alongside the expansion of e-commerce, which is redesigning the consumption habits and setting further growth in imports to Israel, requiring the establishment of advanced, high-rise and robotics-based logistic centers” The logistic centers industry has no excess in this challenging period. The rental agreement comprises another significant step to achieving the said objective.