The compensation is for the expropriation of the Fraser 7 property in Liberty Village, Ontario, and is expected to be paid to the company within 60 days. The amount adds to a prior compensation of ~CAD 10 million (company share) already received. The expected impact of the compensation on gross profit (pre-tax) of the company as of December 31, 2025 is ~CAD 34.7 million (totaling ~NIS 80.8 million at the 31.12.25 exchange rate).
Adgar reports the signing of a final settlement agreement with the Canadian authorities providing additional compensation for the property expropriation totaling ~CAD 57.4 million (~NIS 130.8 million as of the report date), with the company’s share at 50%. To this payment is added interest of ~CAD 12 million (~NIS 27.4 million as of the report date), with the company’s share at 50%. The total compensation of ~NIS 79.1 million (at the report-date exchange rate) will be paid to the company within 60 days.
The compensation is for the expropriation of the Fraser 7 property, located in Liberty Village in the province of Ontario, Canada, held by a 50% Canadian subsidiary of the company. This compensation adds to an initial compensation of ~CAD 20 million (~NIS 52 million) previously received in connection with the property expropriation.
Roy Gadish, CEO of Adgar, said:
After protracted negotiations, we have secured compensation for the expropriation of the Fraser 7 property in Liberty Village and signed a final settlement agreement with the authorities in Canada. The amount determined is higher than the value recorded in the company’s books prior to the expropriation. Receipt of the compensation will strengthen Adgar’s equity, following the share issuance we executed last quarter. We see this as a positive indication of the future upside potential of our other assets in the area and will continue to act to enhance assets and realize the rights in the lands we own, while managing capital structure and improving leverage levels.
Following payment of the additional compensation, the company is expected to record in its books as of December 31, 2025 gross profit (pre-tax) of ~CAD 28.7 million (~NIS 66.8 million at the 31.12.25 exchange rate), plus interest of ~CAD 6 million (~NIS 14 million at the 31.12.25 exchange rate), for a total positive impact on pre-tax profit of ~NIS 80.8 million.
About the company
Adgar Investments and Development Ltd. is a public company engaged in leasing, managing and maintaining income-producing properties located in major metropolitan cities around the world, as well as in initiating and developing real estate for leasing. The company’s properties are mainly concentrated in Tel Aviv, Toronto, Warsaw and Antwerp, primarily office space. As of June 30, 2025, the company owns and manages 38 income-producing properties comprising a leasable area of ~541 thousand sqm, of which ~410 thousand sqm are owned. About 40 thousand sqm are operated under the Brain Embassy brand. As of the report date, the company’s properties are leased at an average occupancy rate of ~86%.
