BRIEF: Clal Insurance buys Jerusalem office buildings: Fishman Holdings’ Jerusalem Economic sold half of the two properties for NIS 120.5 million. [Globes, Tel Aviv, Israel]

May 24--Fishman Holdings subsidiary Jerusalem Economy Ltd. (TASE:ECJM) (JEC) has sold 50 percent of two office buildings in Jerusalem to Clal Insurance Enterprises Holdings Ltd. (TASE: CLIS) for NIS 120.5 million.

The two buildings, located on Kanfei Nesharim Street in Gival Shaul, have 23,000 square meters of space, not including underground parking garages, and are fully leased to the government. Rent totals NIS 20 million a year

The purchase by Clal Insurance is in line with the strategy of Israel's large insurance companies to buy real estate in Israel and abroad. Clal Insurance made the purchase through its investment arm, Canaf (Clal Financial Management) Ltd.

JEC CEO Oded Shamir said, "The sale of the properties in Jerusalem is part of the company's operating strategy to create a positive cash flow from operations."

JEC's share price fell 3.5 percent by midday today to NIS 22.92, giving a market cap of NIS 1.25 billion. Clal Insurance's share price fell 1.4 percent to NIS 78.80, giving a market cap of NIS 4.42 billion.

Eliezer Fishman is the controlling shareholder in "Globes".

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