The opportunity to acquire a 49 percent stake in New York commercial real estate is particularly suited to Israeli insurance companies and pension funds. Under Israeli regulations, these institutional investors are not permitted to acquire a majority interest in real estate that is subject to a mortgage loan. While U.S. real estate developers are often more attracted to investors who will fund 80 percent or more of the equity in an investment, the tax incentives in New York that motivate owners to sell a 49 percent stake in a transaction helps Israeli capital compete for investment opportunities.