A new Italian regulated real estate fund (the “Fund”), which has Apollo European Principal Finance Fund II (“EPF”), a fund affiliated with Apollo Global Management LLC, and AXA Real Estate Investment Managers (“AXA Real Estate”), as its two investors, announces that it has completed the acquisition of a portfolio of 25 retail and leisure assets from Olinda Fondo Shops, a listed real estate mutual fund managed by Prelios SGR, for a total consideration of approx. €290 million. The Fund is managed by AXA Real Estate Investment Managers SGR.
The portfolio contains 25 assets, comprising four entertainment centers, five cash & carry stores, five large furniture retailers, three retail malls and seven street shops and other assets. The portfolio has a total leasable area of c. 260,000 m², and is predominantly located in the Northern Italian provinces of Piedmont, Lombardy and Veneto. Over two thirds of the portfolio is anchored by five leading global retail and leisure brands.
Major shopping and entertainment centers within the portfolio include:
Bicocca Village and Gate, one of Italy’s top performing entertainment centers spread across c. 40,000 m² in Northern Milan. Anchored by an 18-screen cinema and a health club, the recently expanded complex hosts a selection of other retailers, supported by a multi-level car park with capacity for 1,350 cars.
The Moncalieri 45, a c. 34,000 m², open-structured shopping and entertainment center, located just south of the northern city of Turin. This center is also anchored by a multi-screen cinema and a health club, with the asset further benefitting from a double-level food court and parking for 1,750 cars.
The Grotte Centre located within an established retail area in the town of Camerano, near Ancona, the c. 18,000 m² center opened in June 2013 and has drawn major tenants.
The UCI Pioltello, located in an eastern suburb of Milan, comprises a 14-screen multiplex cinema, in addition to two restaurants and two bars, totalling c. 16,000 m².
Alessio Lucentini, Head of Italian Asset Management & Transactions at AXA Real Estate, commented: “This latest acquisition, our eighth and most substantial in Italy since re-entering the country in mid-2013, is further evidence of our belief in the positive long term prospects of the Italian real estate market. After completion of this transaction, we are managing over €1 billion of assets in Italy.”