JERUSALEM, Aug 18 (Reuters) - Real estate developer Africa Israel Investments said on Tuesday it would post a second-quarter loss of about 1.4 billion shekels ($367 million), largely due to a drop in the value of its investment properties.
The Israeli company, controlled by billionaire diamond dealer Lev Leviev, had recorded a first-quarter profit of 647 million shekels.
It said in a statement to the Tel Aviv Stock Exchange that the value of some of its properties was less than the amount listed on its books.
Africa Israel also said it would also post higher financing expenses on the heels of higher inflation in Israel.
Earlier on Tuesday, its AFI Development unit recorded a quarterly net loss of $201.7 million due to the global crisis that hurt property values.
Africa Israel, which will report results at the end of August, said its estimate was based on partial data and is subject to change in the final version. ($1 = 3.81 shekels) (Reporting by Steven Scheer; Editing by Rupert Winchester)