With tens of millions in profit: Acro sells its stake in Tel Aviv luxury hotel
Two years after opening, Acro sells its stake in THE GEORGE hotel in Tel Aviv’s Alpha Tower to Electra Group for NIS 113M. The deal is expected to generate a pre-tax profit of about NIS 25M.
Acro Group has announced the signing of an agreement to sell its full rights (35%) in the boutique hotel THE GEORGE in Tel Aviv for a total of approximately NIS 113 million plus VAT. The buyer is the Electra Group, and the deal also includes transferring Acro’s portion of the existing loan on the property - about NIS 54 million - to the purchaser.
According to the company’s announcement, the deal is expected to yield a pre-tax profit of approximately NIS 25 million. The hotel was established as part of the Alpha Tower at the corner of Allenby and Montefiore streets, a mixed-use project combining residential and hospitality components initiated by the Acro Group.
The hotel in question opened only about two years ago and is now being sold as part of a broader process of business focus. Acro notes that the deal aligns with the company’s strategy of strengthening its cash flow while capitalizing on business opportunities. According to the company, this move further demonstrates its ability “to generate significant value in a short period of time.”
By WALLA/REALESTATE