Industrial Zone

Industrial zones have developed to meet the specific needs of many businesses, mainly small/heavy industries, starting from garages, locksmith`s workshops and tire repair shops, to factories, warehouses, manufacturing areas, packaging, small factories and more. Over the years, some industrial zones have developed to include office buildings, shopping centers, huge supermarkets and other commercial centers (retail and wholesale). Today, many industrial zones include businesses, stores, offices and more. In most cases, industrial zones are located on the city outskirts, but there are quite a few industrial areas which are located inside the city.

Gross Net Ratio

One of the most important, basic concepts in office rental is gross net ratio. As a rule, net area refers only to office space, while gross area also includes the lobby, stairwells, safe rooms and more. The ratio between gross and net areas can reach 30% and even 50% in luxurious, modern buildings and can significantly affect the overall transaction cost. Rent and management fees are calculated according to gross area. In some local authorities Property Tax is calculated according to net area (for example in Tel Aviv), while in other authorities it is calculated according to gross area.

Management/maintenance fees

Maintenance fees, also known as management fees, should be included in the monthly business expenses. The maintenance fees are collected in a similar manner to apartment building fees and include services such as insurance, cleaning, electricity and water of building public areas, elevator maintenance, ongoing maintenance and more. Access relates to the range of ways to reach the business; public transportation routes - buses, trains, service taxis and private transportation, including urban and interurban roads and pedestrian access roads. When looking for offices for rent, attention must be paid to the range of access roads in order to provide a solution for both private car owners and those who use public transportation - employees, senior managers, guests and customers.

Location

In many cases, location is a critical issue when renting an office. It is not just about the geographical location - such as a region/particular city or rent in a specific location, but rather a set of elements that provide a comprehensive solution for all your business needs. Therefore, when it comes to renting offices, you need to take into consideration factors such as the size of the desired office, the nature of the office building, the nature of the area in terms of the surrounding companies, whether it is an evolving or saturated area, the type of service your business provides, the target audience and where it is located, access by private/public transportation, is the city center more suitable for you? Big city or suburbs? How much does the Municipality support a certain area and how important is it to the nature of the business? Remember, that addressing these parameters (as well as others) will help you find not only the most convenient location, but also the right location for your business.

Parking

Parking shortage is a known problem, not only in the centers of major cities. Parking can be critical when choosing your new business location or office, so pay close attention to the proposed options.

TA-125 Index

The TA-125 Index is the Israeli economy's most significant benchmark. The scope of financial products tracking the Index is the largest among TASE Indices. The Index consists of the 125 shares included in the TA-35 and TA-90 indices (formerly - TA-100).

TA-35 Index

The TA-35 Index is the TASE flagship index, consisting of the 35 companies with the highest market capitalization on the exchange that meet the index criteria.

Tel-Bond 60 Index

The Tel-Bond 60 Index consists of the 60 corporate bonds included in Tel Bond-20 and Tel Bond-40 indices.

TA RealEstate Index

The TA-RealEstate Index is comprised of shares classified in the real-estate sector, which meet the Index criteria.

Tel-Div Index

The Tel-Div Index is comprised of Large Cap shares that had a consistent minimum 2% dividend yields in two of the three passing years, which meet the Index criteria. The Index replaces the Tel Div-20 Index that ceased being quoted on the same day. The historical data until March 31, 2011, is valid for the Tel Div-20 Index.

Corporate Bond

A corporate bond is a negotiable bond / debt security generally issued by a corporation. The terms of the bond are described in the prospectus under which it is issued.

Investment Real Estate Fair Value

Investment Real Estate Fair Value is calculated by dividing the NOI of a property by the cap rate that is most appropriate for the area, the use of the property and the quality of the property's tenants.

Working Capital

Working Capital is a financial ratio describing the short-term liquidity of a certain business, and is calculated as: current assets less current liabilities.

Dividend

A dividend is a payment made by a corporation to its shareholders, from surplus or profits. The word "dividend" is derived from the Latin word "dividendum", which means "the thing which is to be divided".

Issue/Issuance/Offering

An issue on the stock exchange is designed for raising capital by means of an offer of securities to the public. Corporations seeking to raise money from the public may issue shares, bonds, options and other securities on the stock exchange, or a combination thereof in the same offering.

Financial Debt

Total liabilities to banks and financial institutions operating in the capital market.

Financial Leverage

Financial Leverage is a term derived from the financing world, describing the risk exposure of an individual or entity taking loans. Financial Leverage is calculated as the ratio between a company's total liabilities used to finance its business, and its equity.

NOI

Net Operating Income (NOI) means profit from leasing and operating properties, net of depreciation, but including the Company's rental and management revenue, less leasing costs.

FFO

Funds from Operations (FFO) represent the company's operating cash flow, excluding the impact of one-time events and profit (loss) from revaluation of investment real estate. FFO is, in fact, the net operating income less financing expenses and current taxes.

Weighted Capitalization Rate

Dividing the fair value of income-producing real estate properties owned by the company, excluding value attributed to vacant space, by its representative NOI.

Same NOI Property

NOI of properties owned by the company in the comparable periods.

Dividend Yield

The ratio between the gross cash dividend per share and the price per share.

Net Financial Debt

Net Financial Debt is the total financial debt net of cash.

FFO Yield

The ratio between the company's funds from operations (FFO) and the market value of the company.

Average Duration

Average Duration is the average length of time to maturity.

EBITDA

Profit before financing expenses, tax, depreciation, and amortization. EBITDA is intended to assess the company's current cash flows in order to pay debts and taxes, invest in properties and distribute dividends.

Investment Real Estate

Real estate (land or building, or part of a building, or both) held by the owner (either owned or under a finance lease) to generate rental income or for capital appreciation (or both).

Search Properties