Tshuva's giant exit: Sells 16,000 flats in Canada for $2 billion
Properties baron succumbed to relentless pressure of demand and stands to net as much as a billion dollars
Real estate and energy baron Yitzhak Tshuva succumbed to the pressure of demand, and has agreed to sell a portfolio of 16,000 apartments in Canada for about $2 billion.
Tshuva had been wooed by potential buyers for a long time before he finally decided to sell, sources near the process told TheMarker. The deal is one of the biggest closed in Canada's real estate market in years, the sources say.
Estimates based on the rising price of housing in Canada and the appreciation of the Canadian dollar, Tshuva's profit should be in the range of half a billion dollars to a cool billion.
Most of the apartments he's selling are on Canada's eastern coast, mainly in Toronto and Montreal. Technically, they are owned by Elad Canada, a privately-owned company that Tshuva owns (and named after his son, Elad).
The apartments are being bought by a consortium of 25 institutional investors, mainly Canadian pension funds and REITs.
Tshuva. More to come