AXA Real Estate Investment Managers SGP has completed the acquisition of a core office building in Milan from an Italian regulated fund for circa EUR20 million.
AXA Real Estate made the acquisition on behalf of AXA Selectiv’ Immo, a real estate collective investment undertaking (OPCI 2).
The 7,154 sq m, seven storey property comprises six office floors, a ground floor restaurant plus two underground car parks. The building, which was refurbished in the first half of 2014, is mainly let to international blue-chip companies within the service and industry sectors.
The acquisition is the fourth for AXA Selectiv’ Immo in the last 12 months and the second outside of France, following the acquisition of two retail outlets in Madrid in 2013.
Alessio Lucentini, head of Italian asset management and transactions at AXA Real Estate, says: “As a prime asset on the edge of Milan’s central business district, this acquisition is demonstrative of our core approach. By investing in opportunities which are high quality and well let but just off city centre, we believe we can deliver higher returns for our clients, and often with lower risk than those within the central business district.”
Antoine Aubry, fund manager of AXA Selectiv’ Immo, says: “The second acquisition outside of France for AXA Selectiv’ Immo reflects the importance of our diversification strategy by sourcing good quality properties within Europe for our retail clients. There is greater scope for investment within the European market and, as we continue to grow rapidly, we will look for further pan- European opportunities in line with the philosophy of the fund and with the expectations of our clients.”