OPTIBASE LTD. ANNOUCES SALE OF APARTMENTS AND PENTHOUSES IN MIAMI, FLORIDA AND FULL REPAYMENT OF A LOAN

Rhea-AI Summary

Optibase Ltd. (NASDAQ: OBAS) announced the sale of three apartments and two penthouses in Miami, Florida, generating approximately $8 million between November 2021 and March 2022. The sales achieved an average price of $460 per square foot for apartments and $990 per square foot for penthouses. Following the final sale on March 9, 2022, the company repaid its loan associated with the condominium units. Optibase expects a combined gain of about $1.6 million in its financial statements for Q4 2021 and Q1 2022 due to these transactions.

Positive

• Generated approximately $8 million from property sales.
• Achieved an average of $1.6 million gain on sale of properties.
• Fully repaid the loan linked to the Miami condominium units.

Negative

• None.

HERZLIYA, Israel, March 15, 2022 /PRNewswire/ -- Optibase Ltd. (NASDAQ: OBAS) (the "Company" or "Optibase"), today announced that between November 2021 and March 2022, the Company sold three apartments and two penthouses in Miami, Florida for a total consideration of approximately U.S. $8 million. The consideration reflects an average price per square feet of U.S. $460 for the apartments and an average price per square feet of U.S. $990 for the penthouses. Following the last sale of the penthouse held on March 9, 2022, the Company fully repaid the loan granted as part of a financing agreement of the condominium units in Miami.

The Company expects to record a combined gain on sale of operating properties in the Company's financial statements for the fourth quarter of 2021 and the first quarter of 2022 as a result of these sales in the amount of approximately U.S. $1.6 million.

About Optibase 

Optibase invests in the fixed-income real estate field and currently holds interests in real estate properties in Switzerland, Texas, Philadelphia, PA, Miami, FL, and in Chicago, IL, USA and is currently looking for additional real estate investment opportunities. Optibase was previously engaged in the field of digital video technologies until the sale of its video solutions business to Optibase Technologies Ltd., a wholly owned subsidiary of VITEC Multimedia in July 2010. For further information, please visit www.optibase-holdings.com.

This press release contains forward-looking statements concerning our marketing and operations plans.  All statements other than statements of historical fact are statements that could be deemed forward-looking statements. All forward-looking statements in this press release are made based on management's current expectations which involve risks, uncertainties and other factors that could cause results to differ materially from those expressed in forward-looking statements. These statements involve a number of risks and uncertainties including, but not limited to, difficulties in finding suitable real-estate properties for investment, availability of financing for the acquisition of real-estate, difficulties in leasing of real-estate properties, insolvency of tenants, difficulties in the disposition of real-estate projects, risk relating to collaborative arrangements with our partners relating to our real-estate properties, risks relating to the full consummation of the transaction for the sale of our video solutions business, general economic conditions and other risk factors.  For a more detailed discussion of these and other risks that may cause actual results to differ from the forward looking statements in this press release, please refer to Optibase's most recent annual report on Form 20-F. The Company does not undertake any obligation to update forward-looking statements made herein.

Media Contacts:
Amir Philips, CEO, Optibase Ltd.
011-972-73-7073-700
info@optibase-holdings.com 

Investor Relations Contact:
Marybeth Csaby, for Optibase
+1- 917-664-3055
Marybeth.Csaby@gmail.com 

View original content:https://www.prnewswire.com/news-releases/optibase-ltd-annouces-sale-of-apartments-and-penthouses-in-miami-florida-and-full-repayment-of-a-loan-301503076.html

SOURCE Optibase Ltd.

FAQ

What properties did Optibase sell in Miami?

Optibase sold three apartments and two penthouses in Miami.

How much did Optibase earn from the Miami property sales?

Optibase earned approximately $8 million from the sales.

What was the average price per square foot for the sold apartments?

The average price per square foot for the apartments was $460.

What financial gain is expected from the property sales?

Optibase expects a combined gain of approximately $1.6 million from the sales.

When did Optibase fully repay its loan related to the Miami properties?

Optibase fully repaid the loan on March 9, 2022.