Barings invests in mixed-use building in central Milan
Diversified real estate investment manager Barings, one of the world’s largest diversified real estate investment managers, announces that it has acquired Viale Cassala 22, a mixed-use office and retail building in Milan, Italy, on behalf of institutional investors.
The newly acquired Viale Cassala 22 provides circa 8,700 sq m of space, offering 50 per cent retail and 50 per cent office accommodation. The retail area is currently fully let while the offices are set to be redeveloped into high quality, energy efficient Grade A space. Further improvements will be made to the façade, entrance hall and external areas to modernise the building and ensure its potential is optimised.
The asset is prominently located in a busy part of central Milan that benefits from excellent visibility and connectivity with the local railway system, which is regularly used by commuters. The metro station Romolo is only 300 metres away and from here, it is nine stops to Milano Centrale station and four stops to the city centre. The area is also home to a number of renowned educational institutions and considered one of the most vibrant parts of the city.
Valeria Falcone, Managing Director, Real Estate Country Head Italy and Portfolio Manager at Barings, says: “Via Cassala 22 is our third value-add transaction in Milan, having previously acquired Via Pola and Via Ceresio. The asset has great visibility on the internal ring road and sits close to Romolo tube station, one stop from Porta Genova. The area is growing with undersupplied demand for Grade A office space. We will look to unlock the potential of the asset through an active redevelopment programme that will modernise the asset and offer tenants a contemporary, fit-for-purpose space.”
In 2018, Barings’s funds executed several value-add transactions totalling approximately EUR436 million across Europe in the target markets of Sweden, Finland, France, Germany, Spain and the UK, which they are looking to grow further in 2019.