Market capitalisation
₪2.0 billion
At 30.6.2026, as reported by the company
Investor capital managed
$5.4 billion
Of $6.7 billion raised to date
Managed real estate value
$9.7 billion
100% basis, excluding the debt funds
Loss, H1 2026
-$23.2M
Against -$19.5M in the comparative period
Management and acquisition fees
$8.87M
Against $8.60M in the comparative period
Gross finance expense
$24.85M
Against $19.19M — of which ~$9.5M is FX
Equity attributable to shareholders
$241.5M
Against $263.5M at 31.12.2025
Apartment units under management
46,884
Plus 4,690 single-family rental homes
Occupancy — multifamily
94%
Same-Property T12 managed NOI change: -1%
Covenant — solo equity to solo balance sheet
33.08%
Against a 33.0% minimum threshold
Net debt to net CAP
64%
58% after the July 2026 private placement
Corporate and bond ratings
A3.il / ilA-
Midroog 2.2.2026 · Maalot 4.8.2026 · stable outlook
1 Company Profile
Electra Real Estate Ltd (ELCRE) is an Israeli public company that manages private investment funds in US real estate. Despite its name, it is not a conventional property-owning company: it acts as General Partner in funds and partnerships that raised capital from Limited Partners, while also investing its own balance sheet alongside those investors. The controlling shareholder is Elco Ltd, holding 48.57%.
As of the report date the company manages four US multifamily investment funds plus a fifth launched in January 2026, two debt funds financing multifamily assets, 25 dedicated partnerships holding single-family rental homes, a build-to-rent fund, a US private hotel REIT partnership, a UK office fund, and two land parcels in South Miami.
Scale of operations: 46,884 apartment units across 156 assets and financing transactions, plus 4,690 single-family homes, in fifteen US states (54 cities) and the United Kingdom. The company owns its management company, American Landmark, which employs 892 people and manages the company's assets exclusively — full vertical integration of the value chain. Managed real estate revenue for the half (100% basis) was $404 million, with NOI of $169 million.
Per the company presentation, the revenue model rests on four sources: management fees and promote as General Partner, and current profits and revaluation gains as Limited Partner. Management fees are derived at 1.5% per year (1.75% in the fifth fund) on capital actually invested in each fund, multiplied by the company's stake in the General Partner entity — between 24.75% and 60% depending on the fund.
2 Financial Performance
| Line item (USD thousands) | 2023 | 2024 | 2025 | H1 2025 | H1 2026 |
|---|
| Management and acquisition fees | 17,056 | 16,486 | 17,604 | 8,598 | 8,870 |
| Promote | (67,898) | (38,348) | (4,924) | (2,567) | 1,632 |
| Results under the equity method | (22,671) | (24,491) | (17,213) | (8,361) | (13,836) |
| Revaluation adjustments and others | 31,194 | (39,743) | (2,809) | (3,187) | 2,427 |
| Total results of operations | (41,192) | (83,992) | (7,343) | (5,518) | 875 |
| General and administrative expenses | (5,541) | (7,822) | (7,633) | (2,439) | (4,115) |
| Total costs and expenses | (7,512) | (11,925) | (12,641) | (4,150) | (6,611) |
| Operating loss | (48,704) | (95,917) | (19,984) | (9,668) | (5,736) |
| Gross finance expense | (24,060) | (28,246) | (42,614) | (19,185) | (24,853) |
| Net finance expense | (29,387) | (21,801) | (34,549) | (12,926) | (22,373) |
| Loss before income taxes | (78,091) | (117,718) | (54,533) | (22,594) | (28,109) |
| Income taxes (income) | 15,111 | 26,159 | 6,211 | 3,132 | 4,924 |
| Loss for the period | (62,981) | (91,559) | (48,322) | (19,462) | (23,185) |
| Loss per share (USD) | (1.13) | (1.52) | (0.75) | (0.31) | (0.36) |
Source: consolidated statement of profit or loss, Q2 2026 report and FY2025 annual report. The "revaluation adjustments" line appears in the filing under a fuller caption.
Net loss by year — cumulative loss of $226.0 million from 2023 through 30.6.2026
Management fees against total costs and expenses — H1 2026 shown annualised
Two facts to read together. Management fee revenue has been flat in the $16.5–17.6 million range over the past four years. Over the same period total costs and expenses rose from $7.5 million (2023) to $12.6 million (2025) and roughly $13.2 million annualised in H1 2026 — an increase of 76%. The difference between management fees and total costs, which is the only line in the filing that does not depend on revaluation, fell from $9.5 million (2023) to $5.0 million (2025) and to roughly $4.5 million annualised in H1 2026.
Composition of the loss. The cumulative loss over the three and a half years is $226.0 million, while cumulative cash flow from operating activities over the same period is -$20.3 million. The gap — roughly $206 million — consists mainly of foreign exchange differences, depreciation, revaluations and the reversal of accrued promote, none of which involve cash movement in the period of recognition. In Q2 2026, per company management, approximately $7.5 million of the $16.5 million loss arose from the strengthening of the shekel against the dollar.
3 Balance Sheet & Capital
| Line item (USD thousands) | 30.6.2026 | 31.12.2025 | 30.6.2025 |
|---|
| Cash and cash equivalents | 64,746 | 78,474 | 40,607 |
| Total current assets | 160,915 | 152,880 | 112,400 |
| Investments under the equity method | 602,649 | 589,687 | 603,536 |
| Total assets | 876,572 | 851,936 | 818,383 |
| Total current liabilities | 132,005 | 125,908 | 59,546 |
| Bonds | 180,924 | 188,013 | 195,833 |
| Long-term bank loans | 264,156 | 209,531 | 205,000 |
| Total non-current liabilities | 496,662 | 456,231 | 460,725 |
| Equity attributable to shareholders | 241,465 | 263,479 | 291,863 |
| Total equity | 247,905 | 269,797 | 298,112 |
Debt structure
| Instrument | Size | Coupon | Features |
|---|
| Bonds Series 6 | ₪315.1 million par | 2.85% fixed | Unsecured |
| Bonds Series 7 | ₪367.0 million par | 6.07% fixed | Unsecured · 19 unequal instalments through 2034 |
| Commercial paper Series 1 | ₪200 million par | 5.49% | Non-tradable · institutional · annually renewable up to five years |
| Bank credit lines | $335 million | — | Maturities: $65M in 2026 · $230M in 2027 · $40M in 2028 |
Financial covenants at 30.6.2026
| Covenant | Required | Actual | Headroom |
|---|
| Minimum equity — Series 6 | $130 million or more | $241 million | +$111 million |
| Minimum equity — Series 7 | $145 million or more | $241 million | +$96 million |
| Consolidated equity to balance sheet — bonds | 27% or more | 30.54% | +3.54 points |
| Consolidated equity to balance sheet — banks | 27.5% or more | 30.30% | +2.80 points |
| Solo equity to solo balance sheet | 33.0% or more | 33.08% | +0.08 points |
Per the filing, the company complies with all covenants towards its financing banks and towards bondholders. The trust deeds contain a cross-default provision with a 30-day cure window.
Equity attributable to shareholders against share issuance in the same years
Net loss against cash flow from operating activities
The equity path. Equity attributable to shareholders fell from $320.8 million (1.1.2024) to $241.5 million (30.6.2026). Over the same period approximately $132 million of share capital was raised: $32.3 million in 2024, $55.4 million in 2025, and ₪150 million in July 2026 through a private placement of 4,285,740 shares to entities of the Menora Mivtachim group and additional classified investors — that is, ₪34.998 per share. The share count rose from 60.1 million (end of 2024) to 68.7 million pro forma. A dividend was paid to shareholders in 2023 and 2024 and has not been paid since.
The liquidity disclosure. On 19.8.2026 the board of directors discussed the liquidity position "in light of continuing negative cash flow from operating activities in the standalone (solo) financial statements", and determined that the company has sufficient sources to meet its obligations over the coming twenty-four months, based on unutilised credit facilities, proceeds from asset realisations, current management fees and collection of debts from investees. The review conclusion of the auditors (Kost Forer Gabbay & Kasierer) is unqualified, with no going-concern paragraph and no emphasis-of-matter paragraph.
4 Segments
| Segment | Operating profit (loss) | Profit (loss) before tax | Assets carried |
|---|
| Multifamily and single-family homes | 103,754 | 10,774 | 6,492,165 |
| Debt funds | (1,096) | (1,096) | 22,454 |
| Hotels (REIT) | (15,629) | (35,117) | 705,465 |
| Others — Miami land and UK fund | (2,766) | (6,044) | 383,382 |
| Realisation-strategy assets | 1,645 | 1,645 | — |
| Adjustments | (91,645) | 1,728 | (6,726,894) |
| Total | (5,736) | (28,109) | 876,572 |
USD thousands. H1 2026, Note 4 to the financial statements. Segment data include the company's share in associates and jointly controlled entities according to its holding percentage, and the adjustments column bridges to the consolidated presentation. Note that the adjustments column reverses sign between the operating profit row and the pre-tax row, because finance expenses are eliminated there.
Profit (loss) before tax by segment — H1 2026
Gross theoretical multiple at fund level, by fund vintage
Fund status at the report date
| Fund | Status | Acquisitions | Gross theoretical multiple | Gross IRR | Returned to investors |
|---|
| EMIF II (2018) | Realisation period, extended to 17.12.2026 | $2.3B | 2.0x | 15.4% | 158% |
| EMIF III (2019) | Value-add and realisation, extended to 7.6.2027 | $2.5B | 1.7x | 12.3% | 53% |
| ALEMIF IV (2022) | Investment and value-add | $2.6B | 1.0x | Not disclosed | 3% |
| ALEMIF V (1/2026) | Fundraising and investment | $679M | — | — | — |
| Debt Fund 1 (2019) | — | — | 0.90x | — | 43% |
| Debt Fund 2 (2022) | — | — | 0.84x | — | 13% |
| Hotel REIT (3/2022) | 7 hotels, 1,340 rooms | $791M value | — | — | — |
| UK fund (3/2024) | Fundraising and acquisitions, 4 office buildings | £143.1M | — | — | 4% |
Gross theoretical multiple per the company's definition: distributions made plus the current appraised investment value, relative to the original capital raised. It excludes management fees and promote payable to the General Partner.
The debt funds. Per the filing, "in light of changes in market conditions affecting some of the borrowers", the debt funds have taken over the management of 23 asset partnerships under existing contractual rights against both the borrowers and the senior lenders. In ten partnerships in the first debt fund and seven in the second, ownership of the assets has already been transferred to the fund. In the words of the filing: "In the estimation of company management, given current market conditions and in accordance with the nature of the activity and the business model, there may be further cases in which the debt funds take over the management of asset partnerships."
5 Competitive Position
The company is listed in the PERE 100 for 2026 as one of the hundred leading private real estate investment managers globally, and ranks 27th among the fifty largest US multifamily firms. It is a member of the UN PRI.
A feature that distinguishes it from other fund managers is full ownership of its management company. American Landmark employs 892 people and manages the group's assets exclusively. The operational implication is direct control over asset improvement — the factor the company presents as the source of NOI growth during the holding period.
Realisation data reported by the company: 61 assets realised across the first through third funds were sold for a total more than $200 million above their book values prior to sale, as determined on the basis of the most recent appraisal performed for each asset. Average NOI growth during the holding period for assets realised in 2022–2026 ranged from 36% to 56%. Rent growth since acquisition on remaining assets: 28% in the second fund, 27% in the third, 9% in the fourth.
On fundraising capability: the fifth fund held a first closing in January 2026 at $400 million, and as of the report date commitments total $535 million, of which $55 million from Meitav Investment House and $30 million from a strategic co-investor. Per company management, it intends to raise approximately one billion dollars in total — forward-looking information with no certainty of realisation.
6 How to Think About This Company
The first thing to understand about Electra Real Estate is that it is not a real estate company, despite the name. It is an alternative asset manager. The distinction is not semantic — it changes every number in the filing. A property-owning company is measured by NOI, occupancy and capitalisation rates. A fund manager is measured by assets under management, the fees it charges on them, and the promote it earns when a fund completes its life cycle. Electra Real Estate is both at once: it charges fees as General Partner, and it also holds assets as a Limited Partner in its own funds.
The practical consequence of this dual structure is that the financial statements present two different businesses on one line. Management fees are recurring, stable and predictable. The company's share in fund results and the revaluation adjustments are something else entirely: they reflect US real estate prices at a moment in time, and are therefore volatile by tens of millions of dollars from year to year. Anyone looking only at the bottom line sees a picture that mainly reflects the capitalisation-rate cycle, and not necessarily the quality of the business.
The sharpest illustration of this is the promote line. Promote accrues as income when a fund's NAV rises above the preferred return hurdle for the Limited Partners. When NAV falls, the accrual reverses and is recorded as an expense. In 2023 this line was negative by $67.9 million, in 2024 by $38.3 million, and in H1 2026 it returned to positive at $1.6 million. These are not payments that went out or came in — it is an accrual mechanism responding to real estate prices. Reading the 2023–2024 losses as though cash was burned is a misreading of the filing; and reading the 2026 reversal as though cash was received is equally wrong.
From this follows the second question in importance: where the cash is. The cumulative loss from 2023 through mid-2026 is $226 million. Cumulative cash flow from operating activities over the same period is -$20.3 million. The gap — roughly $206 million — is mainly foreign exchange differences, depreciation and revaluations. This figure cuts both ways: it is reassuring in the sense that the company did not lose $226 million in cash, and troubling in the sense that positive cash flow was not there either — it hovered around zero for four consecutive years.
The third question is why management fees are flat. The answer lies in the fee structure itself: management fees are 1.5% per year (1.75% in the fifth fund) on capital actually invested — not on signed commitments. When a fund enters liquidation, its fee base contracts; when a new fund opens but has not yet called capital, it contributes almost nothing. The second fund is in liquidation with only nine properties left. The fifth fund has called 8% of $535 million. Arithmetically, the flatness of management fees over the past four years is a consequence of a seam between vintages, and not necessarily a sign of decay.
What has changed, in a way that is harder to explain as cyclical, is the cost base. Total costs and expenses rose from $7.5 million (2023) to $12.6 million (2025) and to roughly $13.2 million annualised in H1 2026 — an increase of 76%, of which general and administrative expenses went from $5.5 million to $8.2 million. Set against flat management fees, the difference between the two — the only profit in the filing that does not depend on revaluation — falls from $9.5 million to roughly $4.5–5.0 million. This is not a cyclical figure; it is the principal test point for the coming reports.
The other side of the balance sheet presents a question of timing. The company reports two figures that are hard to ignore: the actual General Partner multiple in the second fund stood at 4.93 times, and 61 realised assets were sold for more than $200 million above book value. If these figures are representative, the accounting balance sheet carries the assets below their worth, and future promote is not recorded on it at all. On the other hand, these figures come from funds of 2018–2019 vintage. The 2022 fund stands at a 1.0 multiple, and the debt funds at 0.90 and 0.84. The ranking by vintage is clear, and the question is which vintage represents the return going forward.
On the liabilities side there is a point requiring careful reading: the ratio of solo equity to the solo balance sheet stands at 33.08% against a minimum threshold of 33.0%. Eight basis points. The parallel consolidated ratio, by contrast, stands at 30.54% against 27% required — comfortable headroom. Both tests exist in parallel in the trust deeds and the bank agreements, and the binding one is the narrower of the two. The ₪150 million private placement in July 2026 widens the headroom, but the solo ratio after the placement has not been published.
A further point worth noting is currency exposure. The company reports in dollars, but its bonds are shekel-denominated. In H1 2026 approximately $9.5 million of expense was recorded from exchange differences, "mainly from the erosion of part of the shekel bonds, on which no hedge was taken" — the words of the filing. Excluding exchange differences, gross finance expense rose by only 8% against the comparative period, and not at the rate the headline figure implies. This is a deliberate risk-management decision, and its consequence is that quarterly results will continue to move with the exchange rate.
Finally, the hotel segment is the most open issue in the filing. Per the segment table it recorded a pre-tax loss of $35.1 million for the half — more than the group's entire pre-tax loss, which stood at $28.1 million. The filing attributes this to the hotels being presented as fixed assets and therefore carrying depreciation, whereas the funds are treated under the equity method. The split between depreciation, impairment and actual cash burn is not disclosed, and without it one cannot determine whether this is an accounting asymmetry or an economic loss. This is a material information gap in an asset into which $745 million was raised and 83% of it called.
The picture that emerges is of a company sitting between two cycles at once: the life cycle of its funds, and the cycle of US real estate prices. The accounting statements measure both on the same line, which makes it difficult to read the underlying condition of the business from them. The three figures that separate the two — the difference between management fees and costs, the solo ratio after the placement, and the split of the hotel segment loss — are the numbers that would allow a cleaner reading in the coming reports. Two of the three are not currently published.
7 Risks & Monitoring
| Topic | The reading in the filing | What is checked in the next report |
|---|
| Solo covenant headroom | 33.08% against a 33.0% threshold | The ratio after the ₪150 million private placement — not currently published |
| Profit not dependent on revaluation | Fees less total costs: roughly $4.5 million annualised against $9.5 million in 2023 | Whether total costs stabilise and fees rise as the fifth fund calls capital |
| The debt funds | Multiples of 0.90x and 0.84x · takeover of 23 asset partnerships | Whether the count rises above 23 |
| The hotel segment | Pre-tax loss of $35.1 million for the half · split between depreciation and cash not disclosed | Whether a split is provided, and the carrying value of the REIT |
| 2027 maturity concentration | $230 million of $335 million in credit lines (69%) maturing in 2027 | Refinancing, extension or repayment — and on what terms |
| Currency exposure | Approximately $9.5 million of FX in the half · unhedged shekel bonds | Whether a hedging policy is adopted |
| Promote from the second fund | Fund in liquidation to 17.12.2026 · nine properties remaining · GP multiple 4.93x | Whether liquidation completed on schedule and how it is recorded |
| Credit ratings | Midroog A3.il and Maalot ilA-, both stable outlook | An outlook or rating change is an immediately reportable event |
| Equity dilution | Share count rose from 60.1 to 68.7 million over two and a half years | Whether further equity raising is required |
| Fifth fund raising | $535 million of commitments · 8% called | Pace of fundraising and pace of capital calls |
8 Scenario Framework
The scenarios below describe conditions that would need to hold, not outcomes. They contain no prices, no probabilities and no forecast. They are intended to organise the reading of the coming reports.
If the following conditions hold together
- The solo equity to solo balance sheet ratio is reported above 36% following the private placement
- Quarterly management fees rise above $5.0 million as the fifth fund calls capital
- Total costs and expenses stabilise or decline
- Liquidation of the second fund completes by 17.12.2026 and promote is recorded as income
- The count of asset partnerships taken over by the debt funds does not rise above 23
— then the difference between fees and costs widens, the recurring cash source strengthens, and the filing's dependence on revaluation narrows.
If the following conditions hold together
- Management fees remain in the $8.5–9.0 million range per half
- Total costs remain around $13 million annualised
- The exchange rate continues to move and FX remains a material line
- The solo equity ratio remains in the 33%–35% range
— then quarterly results continue to be determined mainly by revaluations and exchange rates, and reading the underlying trend remains difficult.
If the following conditions hold together
- The count of asset partnerships taken over by the debt funds rises above 23
- The solo equity to solo balance sheet ratio remains below 34% even after the placement
- Liquidation of the second fund is postponed beyond 17.12.2026
- The $230 million of credit lines maturing in 2027 is refinanced on less favourable terms
- The outlook changes at one of the rating agencies
— then financial flexibility narrows, and reliance on realisations and on further capital raising increases.
Scenarios are descriptive, not predictive. They are not a forecast and do not reflect any assessment of their likelihood.
9 Analytical Lens
Growth
Investor capital under management stands at $5.4 billion of $6.7 billion raised to date, and the fifth fund raised $535 million in about seven months and has called 8% of it. Management fees, by contrast, have hovered around $17 million a year for four consecutive years. Which of the two describes the company's rate of growth?
Profitability
The difference between management fees and total costs and expenses fell from $9.5 million (2023) to roughly $4.5 million annualised. In parallel, pre-tax profit in the multifamily segment was $10.8 million for the half. Which of the two is the relevant profitability measure for a company that is both General Partner and Limited Partner?
Leverage
The consolidated ratio stands at 30.54% against a 27% threshold, and the solo ratio at 33.08% against a 33.0% threshold. Net debt to net CAP stands at 64%, and 58% after the private placement. What is the right inference from a structure in which two parallel tests show headroom differing by an order of magnitude?
Competitive position
The company owns its own management company with 892 employees, is ranked in the PERE 100, and 61 assets it realised were sold for more than $200 million above book value. Against that, the multiple on the 2022 fund stands at 1.0 and the debt fund multiples at 0.90 and 0.84. What should one conclude about the moat when the vintages present different pictures?
Management quality
Management has kept equity above the covenant floors through three consecutive equity raises, stopped the dividend after 2024, and decided not to hedge the shekel bond exposure. Which of these decisions read as risk management and which as a response to constraint?
Complexity and risk
The filing presents four multifamily funds, two debt funds, 25 partnerships, a hotel REIT, a UK fund and Miami land — some consolidated, some under the equity method, and a segment table in which the adjustments column reverses sign between rows. What is the cost of that complexity to an outside reader's ability to assess the business?
10 Key Observations
- Management and acquisition fee revenue was $8.87 million in H1 2026 against $8.60 million in the comparative period, and total costs and expenses were $6.61 million against $4.15 million. For the full years: fees of $17.06 million (2023), $16.49 million (2024) and $17.60 million (2025), against costs of $7.51, $11.93 and $12.64 million respectively.
- The cumulative loss from 2023 through 30.6.2026 is $226.0 million, and cumulative cash flow from operating activities over the same period is -$20.3 million. Equity attributable to shareholders fell from $320.8 million (1.1.2024) to $241.5 million, after approximately $132 million of share capital was raised across three issuances.
- The solo equity to solo balance sheet ratio stood at 33.08% against a 33.0% minimum threshold; the parallel consolidated ratio stood at 30.54% against a 27% threshold. In July 2026, after the balance sheet date, 4,285,740 shares were allotted for approximately ₪150 million. The auditors' review conclusion is unqualified, with no going-concern paragraph.
- The debt funds have taken over the management of 23 asset partnerships, with ownership transferred in 17 of them; their gross theoretical multiples stand at 0.90x and 0.84x. In parallel, 61 assets realised in the first through third equity funds were sold for more than $200 million above their book values prior to sale.
Sources & Data
| # | Source | Date | Type |
|---|
| 1 | Quarterly report as at 30.6.2026 — reviewer: Kost Forer Gabbay & Kasierer (EY), unqualified review conclusion | Approved 19.8.2026 | Primary — Maya |
| 2 | Capital markets presentation — Q2 2026 | August 2026 | Primary — Maya |
| 3 | Quarterly report as at 31.3.2026 | 2026 | Primary — Maya |
| 4 | Annual report 2025 | Approved 22.3.2026 | Primary — Maya |
| 5 | Annual report 2023 | — | Primary — Maya |
| 6 | Market capitalisation of ₪2.0 billion — as reported by the company at 30.6.2026 | 30.6.2026 | Primary — company disclosure |
All financial data on this page were taken from the official financial statements as published on Maya. The page contains no estimates or assessments that do not appear in the source. Figures for 2024 were taken from the comparative columns in the FY2025 annual report. Shekel-to-dollar conversions, where shown, are approximate only.
