Migdal Insurance Buys Full Ownership of Golden Mall in Rishon Lezion

Migdal Insurance has agreed to purchase the remaining 25% stake in the Golden Mall in Rishon Lezion from brothers Moshe and Yigal Gindi, increasing its ownership from 75% to 100%. The deal, valued at 840 million shekels, includes 400 million shekels for the above-ground retail space and 440 million shekels for a newly completed underground shopping floor. Migdal also aims to take over the mall's management, which is currently handled by a company owned by the Gindi brothers. Migdal initially acquired 75% of the mall in 2008 for one billion shekels.

Moshe Gindi, one of the original developers, expressed mixed feelings about selling the mall he helped build, calling it "the son I never had." He recounted how the idea for the mall was inspired by visits to Azrieli and Ayalon malls in the late 1990s. The mall has expanded four times since its opening, including the recent addition of a 12,000-square-meter Platinum floor. However, relations between Migdal and the Gindis have been strained, with ongoing litigation over a halted food market project on the new floor.

Looking ahead, Moshe Gindi stated he does not plan to retire and intends to invest the proceeds from the sale into long-term rental housing. He highlighted government plans to encourage developers to sell ready apartments for rental with benefits such as reduced purchase tax and state guarantees for tenants. Gindi also commented on retail trends, praising open-air centers like Pi Glilot for their lower maintenance costs and weekend success, while noting that the Golden Mall’s inability to open on Saturdays due to municipal restrictions limits its potential.

Despite competition from the newer Azrieli Rishonim mall, Gindi believes Golden Mall remains among Israel’s top five shopping centers. The transaction marks a significant shift in ownership and management of one of Rishon Lezion’s key retail landmarks.