Israel to launch index of North American real estate companies

25 bonds totaling $4.1B will be included

New York /
Jun.June 21, 2017 04:40 PM

Beginning in July, a new index comprised of bonds issued by North American real estate companies will trade on the Tel Aviv Stock Exchange.

The exchange’s board of directors approved the measure earlier this week.

The Tel Bond Global index will include 25 bond series issued by 18 companies and totaling 14.5 billion shekel, or $4.1 billion. While the index won’t be limited to real estate companies or North American ones, at present all 18 issuers fit that category. The largest of the group is Joel Wiener’s Pinnacle Group TRData LogoTINY, weighing in at 11.1 percent of the index, across three bond series.

The remaining companies include New York heavyweights like Extell Development, Related Companies and Jeff Sutton’s Wharton Properties.

The index will trade at yields above the general corporate bond market in Israel, paying 4.7 percent on an average term of 3.6 years, as of this week. The relatively high yield reflects the spread between coupon rates for foreign and Israeli companies. That spread has been narrowing, and American companies have consistently issued bonds at under 4 percent rates in the past several months, but isn’t expected to close entirely.

The index will begin trading on July 16. [TheMarker]Chava Gourarie


Related Articles

arrow_forward_ios
With a cooling trade war, stocks perform well, including real estate. (Credit: iStock)
Real estate stocks push up this week as U.S.-China trade tensions ease
Real estate stocks push up this week as U.S.-China trade tensions ease
416 West 25th Street and Maverick Real Estate Partners principal David Aviram (Credit: Google Maps and LinkedIn)
Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case
Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case
At 432 Park, a $30M condo is in default and its owner has vanished
At 432 Park, a $30M condo is in default and its owner has vanished
At 432 Park, a $30M condo is in default and its owner has vanished
L&L Holding’s David Levinson and Columbia Property Trust's Nelson Mills with a rendering of 261 11th Avenue (L&L, Columbia Property Trust, Terminal Warehouse)
L&L, Columbia Property Trust land $1.3B loan for Chelsea office project
L&L, Columbia Property Trust land $1.3B loan for Chelsea office project
Towns and cities have begun restricting housing construction to save their supply of H2O. (iStock)
“Why are we building houses if we don’t have enough water?”: Towns react to scarcity
“Why are we building houses if we don’t have enough water?”: Towns react to scarcity
817 Broadway and Taconic co-CEOs Charles Bendit and Paul Pariser (Taconic)
Taconic lands $125M refi for renovated Union Square office building
Taconic lands $125M refi for renovated Union Square office building
(iStock)
Locals: Put housing, not warehouses, on landfill site
Locals: Put housing, not warehouses, on landfill site
Fires raging in the western United States are beginning to have a negative impact on lumber output. (Getty)
Raging wildfires threaten lumber market, home builders’ costs
Raging wildfires threaten lumber market, home builders’ costs
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...