MAYOR MANNY DIAZ AND NEW YORK AND ISRAELI DEVELOPER GROUP ANNOUNCE CONSTRUCTION OF $1.5 BILLION IN REAL ESTATE PROJECTS

 

July 19, 2004 - (Miami, FL) - In a press conference today, City of Miami Mayor Manny Diaz, City Commissioner Johnny Winton and City Manager Joe Arriola announced that a group of New York and Israeli Developers, led by Brooklyn developer Shaya Boymelgreen, are poised to invest over $1.5 billion in a number of residential, commercial and office projects in the City of Miami.

 “This is a remarkable demonstration of confidence in the long-term strength of the Miami economy by some of the most practical and accomplished businessmen in the world today,” said Mayor Diaz.

The investment is a testament to the City of Miami’s ability to attract large scale investment. Coupled with the Midtown Miami development, the City now has two major projects valued at over $1 billion each.  All total, over $16 billion worth of new development projects are underway. 

 

The international appeal of the City is evident as well. Boymelgreen’s principal partner in the deal is Africa-Israel Investments, LTD. (TASE: AFIL1), a publicly held real estate development and investment organization based in Tel Aviv with 2003 revenues in excess of $600,000,000. Africa Israel partners with Boymelgreen in all its US projects.

 

Together , A.I. & Boymelgreen have closed on the purchase of twenty-five parcels of land.  These parcels are:

 

·        In the Park West area of downtown Miami,

·        Next to the city’s new Performing Arts Center,

·        On Biscayne Boulevard in Edgewater

·         and Near Brickell Avenue.

 

The parcels were acquired from Swiss Bank UBS, parking lot magnate Hank Sopher and other parties. The 25 lots have an aggregate area of 12.5 acres and were acquired for a total purchase price of $130 million.

 

Africa-Israel chairman and controlling shareholder Lev Leviev and CEO Pinchas Cohen stated that the project will be one of the largest overseas by an Israeli company.

 

Together, the two entities plan to construct approximately 3,500,000 sq. ft. of residential, commercial, office, and parking space in the City of Miami. Details of the development plans will be announced in the months ahead.

The ability of the City administration to attract investors is obvious.  Mayor Diaz met with Leviev and Cohen months ago to express his desire to have them invest in the City of Miami. Their faith is corresponded by the flood of accompanying development, as well as the Wall Street rating agency Standard and Poor’s having raised the City’s Bond Ratings from junk to A+ in January.

Mr. Cohen added that in his company’s dealings throughout the world, he had never been greeted as warmly as he had been in Miami.

“Our vision has been to improve the financial base of our city through smart development,” added Mayor Diaz. “Having experienced investors pilot these projects assure us that these developments will be successful.”

“We welcome all major developers that do quality development,” said Commissioner Winton. “Quality development is the key.”

Among the parcels being acquired by A.I. & Boymelgreen in the City are:

-         The Miami Arena (subject to the City of Miami’s scheduled August 10^th auction of the property),

-         The former Howard Johnson Hotel at Biscayne Boulevard and 11^th Street,

-         A 1 ½ acre city block just west of the Howard Johnson hotel property,

-         A complete 3-acre city block west of Biscayne Boulevard located east of the NAP of the Americas and west of the site of the Marina Blue condominium,

-         An assortment of additional parcels in the Park West area,

-         The site of the proposed parking garage just west of the Opera Ballet Theater at the Performing Arts Center,

-         An office building and redevelopment site located on 3.5 acres in the Biscayne corridor,

-         Various parcels in the Brickell Avenue area,

AI & Boymelgreen is presently engaged in various stages of planning and development of fifteen projects in New York City comprising 6 million sq. ft. with an aggregate value at completion of $1.5 billion.

 

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