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
A rendering of the project at 1 Park Row in the Financial District.
L.A.-based lender puts FiDi project into construction with $120M loan
L.A.-based lender puts FiDi project into construction with $120M loan
1133 Sixth Avenue, 114 West 47th Street, 537 Greenwich Street and 55 Broadway (Tdorante10/Wikimedia, Durst Organization, Easter Consolidated Google Maps)
These were the largest Manhattan real estate loans in May
These were the largest Manhattan real estate loans in May
Acting Katara CEO Andrew Humphries and 355 West 16th Street (Google Maps, AHIC)
Katara Hospitality takes over Dream Downtown’s $125M ground lease
Katara Hospitality takes over Dream Downtown’s $125M ground lease
Hartz Mountain Industries CEO Leonard Stern and 235 Pinelawn Road (Google Maps, Hartz Mountain)
Warehouse developer accused of violating “Long Island First” policy
Warehouse developer accused of violating “Long Island First” policy
Blooma founder Shayne Skaff (LinkedIn, iStock)
CRE fintech startup Blooma nabs $15M in funding
CRE fintech startup Blooma nabs $15M in funding
President Joe Biden (Getty, iStock)
What Joe Biden’s infrastructure plan holds for real estate
What Joe Biden’s infrastructure plan holds for real estate
arrow_forward_ios

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

Loading...