Azrieli Group

Azrieli Group is one of the largest publicly traded real estate companies in Israel, founded by David Azrieli and listed on the Tel Aviv Stock Exchange (TASE: AZRG). The company's market capitalization reached NIS 52.7 billion by mid-2026, making it Israel's largest income-producing real estate company by market value, as its data-center business, now roughly 18% of total assets, became its primary growth driver.

What Does Azrieli's Core Real Estate Portfolio Look Like?

The Azrieli portfolio anchors the Tel Aviv skyline through the Azrieli Center triangle, square and circle towers, plus the Azrieli Sarona Tower and additional commercial properties in Jerusalem, Haifa and Modi'in. The office segment alone spans 655,000 square meters across 17 Israeli properties, maintaining 97% occupancy with tenants including Amazon, Deloitte, SAP and Cisco, while the mall and retail segment covers roughly 379,000 square meters of gross leasable area at 99% occupancy. By year-end 2025, 29% of asset value sat in Israeli offices (NIS 18.3 billion) and 27% in retail centers and malls (NIS 16.9 billion).

How Has Azrieli's Data Center Business Grown?

Azrieli acquired Norwegian data-center operator Green Mountain in July 2021 for NIS 2.8 billion. Since then, contracted capacity has grown roughly 11.5 times, from 24 megawatts to 275 megawatts, across seven sites in Norway, the UK and Germany, with contracted annual NOI exceeding NIS 1 billion (about €315 million) as of the second quarter of 2026, up from NIS 84 million at acquisition. The segment generated NIS 449 million in NOI in full-year 2025, about 18% of Azrieli's total NOI, and the data-center asset base reached NIS 11.7 billion by the first quarter of 2026. Azrieli separately held a 24% stake in Compass Data Centers in the United States, but sold that position in June 2023 for NIS 3.2 billion at a $5.7 billion valuation, a 2.5-times return on its original investment; Green Mountain is now Azrieli's sole data-center holding. In mid-2026, Azrieli engaged Goldman Sachs to find a partner willing to invest up to €1 billion in Green Mountain at a valuation of as much as €5 billion, roughly six times what Azrieli paid for the business in 2021.

How Has Azrieli Performed Financially?

Azrieli's full-year 2025 net operating income reached NIS 2.53 billion, up nearly 10% year over year, with net income surging 27% to NIS 1.89 billion, even as funds from operations dipped 2% to NIS 1.67 billion on higher financing costs and one-time adjustments. The company declared a 2025 dividend of NIS 850 million, or NIS 7.01 per share. Quarterly results have been more volatile: Q4 2025 NOI fell 8.7% from the prior quarter, sending shares down more than 7% on the report, while Q2 2026 NOI rose 4% year over year on an adjusted basis, with unencumbered assets of roughly NIS 40 billion providing financial flexibility for further investment.

Who Controls Azrieli Group?

The company is controlled by the Azrieli family, led by chairperson Danna Azrieli, who also chairs the Azrieli Foundation in Israel and sits on the Canadian Azrieli Foundation, supporting education, research and medical institutions.

Related Olam Coverage

• David Azrieli: Tel Aviv's Skyline Builder
• Israeli Family Offices: The Ofer, Wertheimer & Azrieli Capital Map

See also: David Azrieli · TASE · Ofer Family · Branded Residence · Tel Aviv Trophy Index