​​​ISRAELI BOND PROGRAM

Gold Watch Investment Group has aligned itself with the Tel Aviv office of global accounting power BDO Seidman www.bdo.com to help bring U.S. developers to the Israeli Bond Market to access a new source of competitive capital. Bond proceeds can be used in many ways from purchasing existing properties to development projects, to contributing equity on top of traditional bank financing or refinancing more expensive debt.

THE OBJECTIVE
Take advantage of the affordable cost of capital and liquidity of the Tel Aviv bond market using money from Israeli investors interested in funding US commercial real estate.   In recent years over $2.5B dollars have been raised by US developers using this method with more bond offerings in 2016 than any other year.

WHO QUALIFIES
This program works best for Sponsors who own an equity position of at least $80 million dollars in its CRE portfolio  to use as collateral.  There are many factors but, generally speaking this will enable the company to float a bond on the Tel Aviv Stock Exchange (TASE) that yields approximately $25 million US dollars.  Of course to achieve more proceeds from the bond sale the Sponsor would need a proportionately higher equity value for its portfolio. 

THE ADVANTAGES

• Avoid taking on a  JV Partner where you have to share both the decision making and profits.
• Bypass mezzanine loans and limited partners who might charge 10% to 18% interest and instead  raise funds from the Israeli bond market at a cost in the 4% to 7% range.
• Receive the appropriate interest and demand from the Israeli market for your Small Cap company rather than the "cold shoulder" from Wall Street's focus on Larger Cap entities.
• Capitalize on the Israeli investors' increasing demand for the relative safety of the U.S. real estate market.

WHY ACCOUNTING FIRM BDO?

• 5th largest accounting firm in the world with over 300 publicly traded US Clients alone.
• BDO has handled almost  40% of the U.S. Bond IPO's on the Tel Aviv Stock Exchange (TASE).
• 1,408 offices worldwide including boots on the ground in the critical cities of Tel Aviv and New York.
• Existing relationships with the entire landscape of real estate attorneys, appraisers, bond underwriters, etc. to match the developer's needs with the most appropriate resource.
• BDO's experience and network of resources allow it to coordinate the process from A to Z.

TAKE THE NEXT STEP

If you'd like to learn more about this Bond Program contact us below to request our 31 page presentation titled,  "Raising Debt in Israeli Capital Market".  Then we can schedule a conference call with the BDO Team in Tel Aviv to answer any questions that you or your CEO/CFO may have before deciding if this is a path you'd like to take to acquire competitive capital for your next project or acquisition.
​

Gold Watch
Investment Group