Commerz Grundbesitz Group (CGG) has invested approximately €60 million in an office building located in the north of Milan. The property is earmarked for the Group's open-end property retail fund, hausInvest europa.
Following a comprehensive redevelopment of the property, which was built in 1989, the lettable floor-space of 23,000 m² plus the 341 parking spaces on site have been fully let to one of Italy's biggest telephone network operators.
The property is located on the Viale Fulvio Testi, the most important artery between downtown Milan and the A4 motorway connecting Turin and Venice. Viale Fulvio Testi runs past the office quarter of Bicocca which has experienced an increasing demand by tenants and investors because of the intense development of the former Pirelli area that is located there. Prestigious international companies have already relocated to Bicocca. The quarter is marked by outstanding traffic connections that will be further upgraded by an underground station scheduled to be completed in 2010.
"The acquisition of the office building in Bicocca represents the second large investment in Milan this year," elaborates Dr. Frank Pörschke, Chairman of the Board of Managing Directors of Commerz Grundbesitz Group. "In March, we signed the deed for the Edison Business Center, which is under construction in the Sesto San Giovanni office district, and which had a volume of approximately €125 million. This comprehensive commitment of our Group demonstrates that Milan, being Italy's most important business hub, plays a major role in the implementation of our international investment strategy."
Source: Commerz Grundbesitz