Vitania Acquires Full Ownership of Ness Ziona Project for 307 Million NIS
Vitania is acquiring the remaining 50% stake in its Ness Ziona Science Park project from the Landa family for 307 million NIS, securing full ownership of a major asset fully leased to Elbit Systems.
Vitania has finalized an agreement to acquire the remaining 50% stake in the first phase of its flagship Science Park project in Ness Ziona from the Landa family for approximately 307 million NIS. The transaction grants Vitania full 100% ownership of the income-producing asset, which is backed by a major long-term lease agreement.
Financial Impact and Losses
The deal was executed at a property valuation below its book value, leading Vitania to anticipate an accounting loss of roughly 50 million NIS in its upcoming financial statements. Additionally, the company estimates a purchase tax expense of approximately 18 million NIS associated with the transaction.
The Elbit Systems Lease
Phase A of the project comprises a massive 40,000 square meter office, laboratory, and commercial building above ground, alongside an underground parking facility with 617 spaces.
The building is fully leased to Elbit Systems under a landmark agreement that commenced on July 1, 2026, for a duration of 24 years and 11 months, ensuring a stable and long-term cash flow.
Total rental fees leading up to the first exit point after approximately 17.5 years are estimated at roughly 544 million NIS, excluding VAT and linkage differentials. Meanwhile, both parties will continue to hold equal 50%-50% shares in the remaining land plots at the site for future development.
