Red Sea Group EVP Mitch Kralis tells that thenegotiated purchase price was in the $14-million range. The askingprice for the asset was $15.5 million, he says.

"The issue here is the short-term lease," he says. "However, thedata center market is tightening up very nicely."

Red Sea Group is an Israeli family trust. Its portfolio exceeds$1 billion of hotel, office, industrial, retail and residentialproperties in Eastern and Western Europe, South Africa, Asia andNorth America. It has been investing in US real estate since 1992,focused primarily on California.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.