Yesodot Group

What Yesodot Group does

Yesodot Group (קרן יסודות) is an Israeli non-bank financial entity, structured as a limited partnership and headquartered at Herzlion 2, Alpay Tower, Bnei Brak, that specialises in financial accompaniment (ליווי פיננסי) of residential construction projects. Operating since 2015 under CEO Eyal Blachar Cohen and a Managing Partner team of former Israeli bankers, the firm runs a closed-financing model that bundles senior construction debt, equity completion loans, capital-extraction facilities, sales-law policies (חוק מכר) and performance guarantees into a single legal agreement per project, effectively acting as a one-stop wrapper for Israeli real-estate developers.

Its product line spans standard new-build financing, urban renewal transactions (TAMA 38/1 strengthening, TAMA 38/2 demolition-reconstruction, Pinui Binui evacuation-construction, and Kombinatzia combination deals), the government's Price for the Planner affordable-housing scheme, and full banking-style accompaniment for landowners with permit-ready land. Coverage of equity completion up to 75 percent of required equity is a headline differentiator, addressing a structural pain point where Israeli banks constrain developer leverage.

The business model is transaction-fee based: interest income on senior debt and equity completion loans, plus fees on issued guarantees and sales-law policies. Approximately NIS 5 billion (~USD 1.4 billion) of institutional commitments have been raised across the 2016 and 2022 funding rounds from Israeli institutional investors, supplemented by framework agreements with multiple Israeli insurance companies for guarantee issuance. Distribution is direct enterprise field sales to Israeli developers and landowners, with a five-stage engagement process and an active portfolio exceeding 200 residential projects across the country.

Name

Yesodot Group

Legal name

Yesodot Aleph (יסודות א') נדל"ן ופיתוח שותפות מוגבלת

Website

https://yesodot-group.co.il

Company type

Private

Founded year

2015

Operating status

Operating

Headcount range

11–50 employees

Short description

Yesodot Group is an Israeli non-bank lender that provides one-stop financial accompaniment — senior debt, equity completion, guarantees and sales-law policies — to real estate developers running residential construction projects across Israel.

Ownership category

akta.pro rank

Product category

Non-Bank Real Estate Construction Financing

NAICS

Funds, Trusts, and Other Financial Vehicles (525)

SIC

Mortgage Bankers & Loan Correspondents (6162), Miscellaneous Business Credit Institution (6159), Surety Insurance (6351)

akta.pro primary industry

Spec/Tract Builder Construction Financing (FSALAHAC)

akta.pro secondary industry

Multifamily Construction-to-Perm Financing (FSALAHAD)

Keywords

• Construction project financing
• Real estate development loans
• Non-bank financial services
• Urban renewal financing
• Equity completion loans

Headquarters

HQ city

Brak Et-tel

HQ country

Lebanon

HQ region

Middle East

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Technology or R&D, Others

Revenue model

1. Construction Financing Interest: Interest income from senior debt (replacing bank financing), equity completion loans, and bridging credit to cover project cash flow gaps. Interest rates are competitive with the banking system and reflect the risk profile of each transaction.
2. Guarantee and Insurance Policy Fees: Issuance of sales law policies (חוק מכר) for apartment purchasers and performance guarantees. Fees for guarantee issuance are competitive with the banking system.
3. Equity Completion Fees: Fees from providing equity completion financing to developers who need to meet equity requirements for bank financing or project accompaniment.

Go-to-market motion1 record

Distribution channels1 record

Marketing channels4 records

Core offering

Yesodot Group is a non-bank financial entity that provides real estate developers with a complete financing wrapper for residential construction projects in Israel using a closed-financing method. Its offering bundles senior construction loans (replacing bank debt), equity completion loans up to 75% of required equity, bridging credit for cash flow gaps, capital extraction facilities, sales law policies (חוק מכר) for apartment buyers, and performance guarantees, all under one legal agreement and supported by framework agreements with Israeli insurance companies.

Product overview

Yesodot Group is a non-bank financial entity (קרן יסודות) that operates as a one-stop-shop financial wrapper for residential construction developers in Israel. The company offers a unified platform of financing products including: Project Financing/Accompaniment (ליווי פרויקט נדל"ן) as the core product providing complete financial accompaniment under one legal agreement; Equity Completion (השלמת הון עצמי) and Capital Extraction (חילוץ הון עצמי) for equity management; Urban Renewal (התחדשות עירונית) including TAMA 38/1 building strengthening and TAMA 38/2 demolition-reconstruction projects; Combination Transactions (עסקאות קומבינציה) and Price for the Planner (מחיר למשתכן) government housing program financing; and Landowner Accompaniment (ליווי לבעלי קרקע). All products are delivered through a ONE STOP SHOP approach with a single legal agreement covering all financing components.

Differentiator

Problem solved

Functional benefit

Products and services

• Project Financing (ליווי פרויקט נדל״ן) Complete financial accompaniment for residential construction projects using a closed financing method, providing senior construction loans (replacing bank financing), equity completion loans, sales law policies (חוק מכר) for apartment buyers, and performance guarantees for landowners and existing residents under one legal agreement. Targeted at real estate developers and entrepreneurs in Israel.
• Urban Renewal Financing (התחדשות עירונית) Non-bank financing package for urban renewal projects in Israel, covering evacuation-construction (פינוי בינוי) and densification (עיבוי) projects, as well as buildings strengthened or rebuilt under TAMA 38 national outline plan. Targeted at Israeli developers pursuing urban renewal transactions.
• Equity Completion (השלמת הון עצמי לבנייה) Subordinated loans to developers to complete their equity requirements for projects financed by Yesodot or by a banking institution. The loan is registered as a second-rank mortgage on the land and project surpluses, enabling developers to leverage capital across multiple projects. Provides up to 75% of required equity. Targeted at Israeli real estate developers with bank-financed projects that need additional equity.
• Capital Extraction (חילוץ הון עצמי) Loans that enable developers to extract equity they have invested in a project before the conditions for surplus release from the lending bank are satisfied. Available at various stages of construction. Targeted at Israeli real estate developers seeking to recycle capital into new projects.
• TAMA 38/2 Demolition and Reconstruction (תמ״א 38/2 הריסה ובנייה) Financing for TAMA 38/2 demolition and reconstruction projects where existing building residents sign agreements with developers for new apartments, with the developer receiving additional land rights. Targeted at Israeli developers executing demolition-reconstruction transactions.
• TAMA 38/1 Building Strengthening (תמ״א 38/1 חיזוק מבנים) Financing for building reinforcement projects under Israel's TAMA 38/1 national outline plan for earthquake-resistant strengthening of buildings built before January 1, 1980. Targeted at Israeli developers executing building-strengthening transactions.
• Combination Transactions (עסקאות קומבינציה) Financing for exchange transactions where a land owner sells part of their rights to a developer in exchange for built areas, with the land owner providing credit to the developer. Includes provision of sales law guarantees (חוק מכר) to landowners secured by first-rank mortgage on the land. Targeted at Israeli landowners and developers executing combination deals.
• Price for the Planner (מחיר למשתכן) Financing for Israel's government flagship affordable-housing program (מחיר למשתכן) where the state markets land at discounted prices to enable affordable housing for eligible buyers through lotteries. Yesodot accompanies these transactions from land acquisition financing through construction completion. Targeted at Israeli developers participating in the Price for the Planner program.
• Landowner Accompaniment (ליווי לבעלי קרקע) Full banking accompaniment and equity completion for landowners with development-ready land that has received building permits (היתר בתנאים/חשבון אגרות לתשלום), providing financing solutions tailored to each transaction. Targeted at Israeli landowners with permitted development-ready land.

Quantifiable outcome

• Up to 75% of required equity provided as equity completion
• +1 more outcomes

Named customers3 records

Segments1 record

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Scale indicators6 records

Recent moves5 records

Expansion highlights4 records

Broad incumbents

• Bank Leumi: Major Israeli bank with a large real estate finance franchise including construction accompaniment loans. Many of Yesodot's senior staff came from Leumi's real estate credit team, making it a natural benchmark for the bank lending product Yesodot replaces.
• Phoenix Holdings: Major Israeli insurance and financial group with real estate and construction credit activities, including institutional involvement in Israeli construction finance. Comparable as a broad incumbent with overlapping capabilities rather than a dedicated specialist.
• Bank Hapoalim: Largest Israeli bank and a major provider of traditional construction 'ליווי בנקאי' (bank accompaniment) financing. Direct competitor for the same residential developer clients, though offered as part of a full-service banking relationship.
• Migdal Insurance and Financial Holdings: One of Israel's largest insurance and financial groups, with investment activities that include real estate credit and structured financing — relevant as a broad incumbent providing capital and competing for the same Israeli project finance relationships.
• Shlomo Group (Shlomo Insurance): Diversified Israeli insurance and finance group that, through its real estate finance arm, underwrites construction loans, sales law policies and performance guarantees — overlapping with Yesodot's credit plus guarantee stack, but as part of a wider insurance portfolio.
• Harel Insurance Investments and Financial Services: Large Israeli insurance and finance group with real estate investment and credit operations, including exposure to construction finance — comparable broad incumbent that both supplies institutional capital and competes for project mandates.
• Israel Discount Bank: Israeli bank with a meaningful construction and real estate finance book serving residential developers across Israel — competes for the same developer relationships through traditional bank accompaniment.

Others

• Tidhar Group: Large Israeli residential real estate developer and construction company. Relevant as a customer archetype and as a vertically integrated operator with its own project finance arrangements, but is a developer, not a non-bank lender.
• Electra Real Estate: Israeli real estate development and construction group active in residential and urban renewal projects. Comparable as an Israeli residential/urban renewal market participant with adjacent project finance needs.

Direct peers

• KSM (Keren Shikma Maof): Israeli non-bank construction financing fund providing senior debt, equity completion and accompanying services to residential developers — closest direct analogue to Yesodot's core product in the same Israeli market.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

• Facebookfacebook.com/yrefinance
• LinkedInlinkedin.com/company/yesodot-group

Compliance1 record

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Yesodot Group