The real estate industry darling, data centers, are centralized repositories of information. These include server farms and networking equipment that store, process, and distribute massive volumes of data for clients. Data centers offer services such as data warehousing, data insights, data storage, and others. A potentially surprising trend is that the number of data centers in operation are decreasing every year. In 2017, they were an estimated 8.4 million data centers, and this number is expected to decline to 7.2 million in 2021. However, this is more a function of the decline in average server prices, resulting from the falling component costs. Cloud-based alternatives to on-site servers are becoming more popular. However, the data centers offered by various large companies are still being built.
An on-premises data center is near or located in its headquarters or base of operations. It stores all the data that the company produces and processes in-house. Cloud servers are much more affordable and practical compared to data centers. Cloud servers are basically data centers that host data for different companies under one roof. They also supply various software services like office suites and applications to the companies for their operations.
Hyperscale Data Center is a facility that is operated by the company that it supports. This includes data centers owned by huge corporations like Amazon, Google, and Microsoft. These Data Centers offer robust and scalable apps and storage portfolio services to businesses and individuals alike. This allows the companies to shift to an Operational Expenses (OpEx) model, from a Capital Expenses (CapEx) model. In doing so, they can avoid worrying about maintaining or repairing the equipment or any upgrades.
(Source: an article in Software Testing Help)Avison Young creates real economic, social and environmental value, powered by people.
Israeli commercial real estate deals
MEDI POWER (OVERSEAS) PUBLIC CO. LTD to buy 5 commercial centers in Philadelphia (721,182FT2) for $115 million.
REALETY INVESTMENT FUNDS & KARDAN LTD to buy a combo lot (commercial & residential) in Tel Aviv for $101 million.
JERUSALEM BANK LTD is sailing one of its branches in Jerusalem for $3 million.
BRICKS PROPTECH INNOVATION serve as the innovation arm for the most influential owners, operators, and developers of real estate in Israel, the US, and the UK to give them access to the new emerging Real Estate and Proptech technologies. These industry-leading companies are looking to be part of the PropTech success, identify and grow game-changing technologies to help them be efficient, save costs, and lead the new real estate era. (link).
Timing- Are we in Proptech time? How 2020 affects the Proptech industry. (LinkedIn).
Commercial Real Estate Opportunities:
For sale 2,200M2 commercial building in Petah Tikva, in the center of Israel.
For sale two floors (2,300M2) out of five, in a comercial building in the center of Tel Aviv.
For Sale in Tel Aviv 600M2 floor, (one out of 4) + 13 parking spaces.
For lease, in Alon Tower Tel Aviv 156M2 office space, high floor, 5 rooms.
For lease, in Or Yehuda, 600M2 office space ready to occupy.
For lease, in Petah Tikva 1,700M2 office space ready to occupy.
The purpose of this Newsletter is to update you with Commercial Real Estate information related to companies from Israel. The information contained herein does not constitute an opinion or professional advice. It is recommended to use the information detailed in this Newsletter only after consultation with the appropriate professional consultants from our office.
Propertech Real Estate is a commercial real estate boutique, a leader in providing professional and unique brokerage services for office spaces, logistics spaces, commercial buildings, brokering and negotiating investment real estate transactions, land, etc,
managed by Avi Gimpel and Guy Amosi.