Vitania Faces Additional 50 Million Shekel Loss Due to Beni Landa’s Business Collapse

Vitania, a real estate company controlled by billionaire Rami Ungar’s family, is incurring further financial setbacks linked to the collapse of tech entrepreneur Beni Landa’s businesses. The company announced ongoing negotiations to acquire Landa’s 50% stake in the first phase of a commercial property project in Nes Ziona. Completion of this deal would result in Vitania recording an 18 million shekel expense for purchase tax and a 50 million shekel accounting loss.

According to Vitania’s investor report, the acquisition involves assuming Landa’s bank debt of 247 million shekels and forgiving an additional 50 million shekel debt owed by Landa. A loan agreement signed recently stipulates that Vitania will guarantee a 40 million shekel loan to Landa from a bank, with a four-year term and an annual interest rate of prime plus 3% (currently 8%).

Vitania and Landa jointly own the "Vitania Landa" office project in Nes Ziona’s Science Park, which includes approximately 40,000 square meters of industrial, laboratory, and office space, plus a 23,000 square meter underground parking facility. Originally, the project was intended to house Landa’s printing company, which has accumulated debts totaling 1.7 billion shekels and filed for a stay of proceedings in summer 2025. This situation forced Vitania to take an 80 million shekel impairment loss last year.

In May, Vitania reported leasing the building to Elbit Systems for a 24-year and 11-month term, with an early exit option after 17 years and 9 months. Total rent until the first exit point is approximately 544 million shekels. Despite this, Vitania’s stock has fallen about 38% since the start of the year, with a market capitalization of around 680 million shekels, below its estimated equity of 1.1 billion shekels.