Gazit-Globe: Royal Senior Care Completes Transaction to Sell the Majority of Its Wholly-Owned Senior Housing Facilities for a T
16 August 2012 - 4:54PM
Gazit-Globe (TASE:GLOB) (NYSE:GZT), one of the world's leading
multi-national real estate companies focused on acquisition,
development and redevelopment of supermarket-anchored shopping
centers announced today that its private subsidiary, Royal Senior
Care, LLC and its members ("RSC"), completed a transaction to sell
the majority of its wholly-owned senior housing facilities. Royal
Senior Care, LLC is a private subsidiary in which Gazit Senior
Care, Inc. (a private subsidiary fully owned by Gazit-Globe) holds
a 60% interest and is active in the senior housing field in the
United States. The senior housing facilities, which include 1,310
units, are being sold for a total gross consideration, before debt
and transaction costs, of US$ 230 million, or US$ 175,500 per unit
on average, (of which Gazit-Globe's portion is US$ 138 million).
RSC will continue to own and manage its joint venture interest
in two senior housing facilities, one fully owned senior housing
community, and a tract of land held for future development.
As result of this transaction, Gazit-Globe will record a gain of
approximately US$ 18 million and net proceeds of approximately US$
70 million.
Roni Soffer, President of Gazit-Globe: "We are
pleased to announce the closing of this transaction. This
transaction is a great achievement for our local team which shows
the group's ability to successfully acquire, manage, and develop
properties and platforms, including within the health care real
estate sector. It also shows our ability to take advantage of
business opportunities, realize suitable returns and create value
for our shareholders. This transaction is another step in our
strategy to focus management's attention on our main business
operations, to recycle capital to those operations, and to
continuously enhance our corporate efficiency, all while we explore
new opportunities in the global real estate markets."
ABOUT GAZIT-GLOBE
Gazit-Globe is one of the largest owners and operators of
supermarket-anchored shopping centers in the world. In addition,
the Company is active in North America in the healthcare real
estate sector. Gazit-Globe is listed on the Tel Aviv Stock Exchange
(TASE:GLOB) and is included in the TA-25 and the Real-Estate 15
indices in Israel. The Company is also listed on the New York Stock
Exchange (NYSE:GZT). The Group operates properties with a total
value of approximately $19.0 billion in more than 20 countries and
owns and operates over 600 properties with a gross leasable area of
approximately 6.7 million square meters.
www.gazit-globe.com.
FORWARD LOOKING STATEMENTS
This release may contain forward-looking statements within the
meaning of the U.S. federal securities laws. These statements are
made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Such statements involve a
number of known and unknown risks and uncertainties, many of which
are outside our control, that could cause our future results,
performance or achievements to differ significantly from the
results, performance or achievements expressed or implied by such
forward-looking statements. Important factors that could cause or
contribute to such differences include risks detailed in our public
filings with the SEC. Except as required by law, we undertake no
obligation to update any forward-looking or other statements
herein, whether as a result of new information, future events or
otherwise.
CONTACT: Media Contact: press@gazitgroup.com
Investors Contact: IR@gazitgroup.com
Gazit-Globe Headquarters,
1 HaShalom Rd., Tel-Aviv, Israel,
Tel: +972 3 6948000
For additional information:
Gadi Cunia,
Senior Executive VP and CFO