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ENCORE PROPERTIES

US based real estate firm
2 series public bond issuance

ILS 516,866,000
JUN 2017

Encore Properties

Encore Enterprises is a real estate Investment company, operating out of its headquarters in Dallas, TX.

Led by InFin, Encore Properties issued ~US$170m in 2 different bond series with a duration of 5.5 years (series A) and 4.5 years (series B).
The issued portfolio includes 23 assets with a total value of US$580m (Encore’s share is ~US$320m), out of which 3 assetst are currently under development.
The company's share in the NOI (post-transaction) is ~$13m and is expected to grow during the next couple of years.
Series A (a secured bond series) is secured by 7 income producing assets (2 offices, 1 hotel and 4 retail properties) with a total value of ~US180m. As part of the issuance, series A maximum LTV rate was set at 75% (according to the properties’ full fair market value); Series B was issued as unsecured bond series.

The tender received an overall demand of US$205m (~140% over-subscription).

The bond proceeds were used to buy out partners and to replace current expensive debt. Two months post the initial issuance, Encore had issued an additional US$20m by executing a private placement in Israel.

CORNERSTONE PROPERTIES

US based real estate firm
Public bond issuance

ILS 274,223,000
DEC 2016

Cornerstone Properties

Cornerstone, a Florida based real estate firm, is a private company, focused on affordable housing in South Florida. The company owns and manages ~14,000 affordable units.

Cornerstone Properties’ portfolio included 20 properties with an aggregate value of US$520 million and a total unit count of ~5,800 units. Led by InFin, Cornerstone Properties had successfully issued ~US$72 million as part of its initial bond offering in Tel Aviv Stock Exchange.

The bonds were rated as ilA1 (by Midroog) and were issued with a maturity of 4.5 years with a coupon of 4.9% (NIS fixed) and are currently traded at ~2.5%

The company used the proceeds for acquiring on of its funding partners and as equity for new development

DELSHAH CAPITAL

US based real estate firm
Public bond issuance

ILS 400,000,000
JAN 2016

Delsha Capital

Delshah Capital’s activity is focused on value-add and long-term holdings of income producing assets in NYC (residential including HUD and retail).

As of today, the company’s portfolio includes 18 assets with a total value of ~US$700m. The company’s stabilized NOI is ~US$23m and is expected to grow by ~US$12m upon the completion of the new project.

Rated at a A3, Delshah Capital had raised over US$170m to date in 3 different bond series, with durations ranging between 3.2 and 5.6 years.

Led by InFin, Delshah Capital, a NY based firm had completed its 3rd issuance raising ~NIS185m of bonds backed by a redevelopment project in Morningside Heights, NYC.

Series C was issued in a Mezzanine structure with financing up to 80% LTC of Morningside’s project; a 205 unit high-end residential project. The tender was closed at 6.15% with a final maturity of 2021 – almost 50% of a similar debt cost in the US.

THE KLEIN GROUP

US based real estate firm
Public bond issuance

ILS 210,833,000
NOV 2015

The Klein Group

The Klein Group is an income producing company who focuses on retail assets in New Jersey and Manhattan.

Led by InFin, the company had successfully issued over US$60m in 2 bond issuances in the Israel market.

As of the initial issuance, the company's portfolio included 21 assets with a total value of ~US$330m, a shareholder's equity of ~103m, and a total NOI of ~US$13m.
The company’s latest bond series were rated as iLA- (by S&P), and were issued for a maturity of 6 years at ~5.4% yield.

The bond proceeds are being used by the company for acquiring minority partners and for expanding the company's portfolio.

Recently, Klein Group refinanced part of its debt in Israel by a US$57m bond swap. According to the Offering, Klein Group offered Series A bondholders to purchase up to NIS 207,533,040 Series A bonds by way of an exchange offer, in consideration for Series B bonds, to be issued by means of an expansion of Series B. The exchange rate was set at of 1.07, and approximately 88.5% of series A bondholders accepted the offering.

COPPERLINE PARTNERS

US based real estate firm
Public bond issuance

ILS 338,735,000
OCT 2015

Copperline Partners

Copperline Partners is a private company owned by the Schlesinger family. It has been active for over 50 years in the area of income producing real estate, where it has gained substantial experience, and was involved in multiple transactions. The company's headquarters are located in NY, with additional offices in Connecticut and Florida.

Led by InFin, Copperline Partners, had successfully issued ~US$185 million in 3 bond issuances.

The initial issuance included 23 portfolios with an aggregate value of US$675 million. Overall, there are ~3,000 residential units and 2 hotels generating an annual NOI of ~US$32m

Series A bonds received a rating of ilA (by S&P), were issued with a maturity of 5 years, and are currently traded at ~2.5% yield

During September 2016, about a year after the initial issuance, InFin had issued an additional ~US$20m in a secondary offering – expanding bond series A. The tender was extremely successful and gained a demand of over ~US$70m.

During February 2017, InFin led an issuance of Series B, for a duration of ~5 years and a final maturity on 2025. The successful tender had gained an over subscription of 300% of the initial issuance amount; which led to expanding the issuance to ~US$75m. The coupon of the new bonds was set at 5.1%