Electra Real Estate Ltd. — M&A Activity 2025

Nov 16, 2025

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ELECTRA REAL ESTATE LTD

Immediate Report on an Event or Matter Deviating from the Corporation's Ordinary Course of Business

Regulation 36 of the Securities Regulations (Periodic and Immediate Reports), 1970

Nature of the Event:

Engagement for the Sale of a Multifamily Property in Florida Held by the Second Multifamily Housing Investment Fund

1. Report Details:

The company hereby announces that on November 14, 2025, it entered into an agreement with a third party to sell its entire rights in a multifamily property located in Tampa, Florida, USA (hereinafter: "the Property"), which is held by the Second US Multifamily Investments Fund and an American limited partner (LP), in consideration (100%) of approximately $78 million. The Property, which is managed by the company as general partner (General Partner), was purchased in January 2019 for (100%) approximately $53.7 million and comprises 300 residential units. Total equity invested (100%) amounted to approximately $21 million. The free cash flow (100%) to be derived from the sale transaction will amount to approximately $30.8 million. Additionally, during the holding period, the Property distributed a total of approximately $16.8 million in regular distributions, so that in total, the Property will bring its investors a cash flow totaling approximately $47.6 million up to the date of realization, reflecting an annual internal rate of return (IRR) of approximately 17% at the property level and an equity multiple of 2.27.

The original equity invested by the company (as a Limited Partner) in this transaction amounted to approximately $1 million, the free cash flow to be derived to the company from the sale transaction, in excess of current distributions received during the holding period (approximately $0.8 million), amounts to approximately $2.3 million, so in total, the company will receive cash flow of approximately $3.1 million from this transaction. As a result of this transaction, the company expects to record a loss of approximately $2.5 million, which will be reflected in the company's financial statements for the third quarter of 2025. Completion of the transaction, subject to fulfillment of all the suspensive conditions under the sale agreement, is expected to occur in the fourth quarter of 2025.

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This is an unofficial AI generated translation of the official Hebrew version and has no binding force. The only binding version is the official Hebrew version. For more information, please review the legal disclaimer.

The information in this immediate report regarding the impact of the transaction on the company's financial results, the cash flow to be generated for the company, as well as the timing of transaction completion, constitutes forward-looking information, which assumes the completion of the engagement with the third party as stated above and is also based on the company's assumptions regarding costs associated with the execution of the transaction and commitments regarding income taxes, final price adjustments which may be made in the transaction, and regarding the time of fulfillment of the suspensive conditions for completing the transaction. This information may not materialize, or may materialize differently than anticipated, including if the company's assumptions as mentioned do not materialize as expected.

Luxe1820_isa.pdf
2. The date and time the Corporation firstbecame aware of the event or matter:Date: 14/11/2025Time: 23:30
3. If the report was delayed –the reason for the delay:
4. On date and at time the impediment to reporting was removed:Date:Time:
5. The company is a shell company as definedin the Exchange'sregulations:☐
Detailsoftheauthorizedsignatoriesforthecorporation:

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Name	Position
Gil Roshink	Chairman of the Board
Amir Yaniv	CEO

Notes: According to Regulation 5 of the Periodic and Immediate Reports Regulations (1970), a report submitted under these regulations will be signed by the persons authorized to sign on behalf of the corporation. Staff position on the matter can be found on the Authority's website: Click here

Previous reference numbers for documents on the subject (including reference does not constitute inclusion by way of reference):

Company Information

Short name: Electra Real Estate Ltd Address: Yigal Alon 98, Tel Aviv, 6789141

Phone: 03-7101700 Fax: 03-7101720

Email: corpsecretary@ere.co.il

Company website: https://electra-re.com/

Electronic Signatory Information

Name: Wesley Eliezer

Role: CFO

Employer: Elco Holdings Ltd

Address: Yigal Alon 98, Tel Aviv, 6789141

Phone: 03-6939678 Fax: 03-6939656 Email: eliv@elco.co.il