THE JCS BUILDING owned by Ronald Lauder on Jaffa Street in Jerusalem..
(photo credit: TOVAH LAZAROFF)
Ron Lauder is shutting down the activity of JCS in Israel.
The company, formerly an important player in production and communications services, has greatly cut back its activity in recent years and now focuses mainly on two buildings it owns on Jaffa Street in Jerusalem, according to a report in Globes.
The buildings, one of which houses The Jerusalem Post
, are worth an estimated NIS 100 million. They will be sold, but this move is not expected to have a dramatic effect on the local communications market.
While the main news broadcast of Channel 10 is broadcast daily from JCS’s buildings, the channel does not receive communications and production services from the company, so there should be no problem about reaching an agreement with the purchaser of the buildings. The current tenants should be able to continue their lease there.
Foreign channels and correspondents operating in Israel, including CNN and other channels, will be hurt by this development because they receive communications services from JCS and will now have to find another company to provide them.
JCS also has studios in Tel Aviv from which the Hadashot company (formerly Hadashot 2) operates, but JCS does not own these buildings, so the company’s leaving Israel should have no negative effect on Hadashot.
Lauder has hired investment bank Value Base, headed by Yair Ephrati, to handle the sale of JCS. Legal advice in the move will be provided by Adv. Almog Doron, a partner in the Yaacov, Salomon, Lipschutz & Co. law firm.
“Ronald S. Lauder has decided to sell the company’s buildings and channel his investments in Israel toward development of the Negev and the Galilee as part of his investment in Zionism,” said a representative of Lauder. “He regards these regions as his personal vision and life’s work in Israel. The company’s customers were informed when the decision was made.”
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