"Mediterranean towers" wants to purchase land in Or Yehuda for NIS 210 million

The network of protected housing for the elderly "Mediterranean towers" is on the way to expand upon winning the Israeli Land Authority (RMI) tender to purchase land in Or Yehuda for the construction of a sheltered housing investment of NIS 210 million. Spoken, in the Ayalon Park neighborhood of Or Yehuda, located near the Mesobot junction, includes more than 87,000 square meters of building space, and up to 500 sheltered housing units. Mediterranean growers have noted that this project will be the largest of the network and in the sheltered housing industry in Israel, and will also include nursing departments and related services.
For the land acquisition, Mediterranean growers will pay NIS 180 million, in addition to NIS 30 million as development expenses, to be paid "at the dates specified in the tender documents," and the company stated that it "is examining the manner of financing the purchase of land as much as possible and choosing not to finance the full purchase from its own sources."
Today, the Mediterranean Towers Network has seven sheltered housing units, with approximately 1,650 housing units, and in recent months has begun the erection of its eighth house in Rehovot, which will include about 250 housing units, so that with the winning of the tender, the number of housing units it is expected to hold will reach about 2,400. This is in addition to nursing wards in some of its assets, which currently include more than 420 beds.
The win of the Mediterranean towers in the PMI tender in Or Yehuda comes after a fairly successful year of its share. This ended 2019 by a close of 70%, and today against the announcement strengthened by another 3% -4%, so it is far less More than 10% of the peak level set last November and reflects the company's present value of more than NIS 1.5 billion.
Thanks to the expansion of the network, in the first nine months of 2019, Mediterranean growers' revenues grew by 11% to NIS 144 million, but a fall in property valuations and a reduction in cash flow forecasts from three nursing departments led to erosion of operating income. In addition, the network's financing expenses rose, so that its net profit between January and September 2019 fell almost 60% to NIS 8 million.