The vacant asset offers significant redevelopment potential and Barings has already identified a range of asset management initiatives to drive value and deliver a Grade A office asset, including the improvement of the building’s ESG credentials and the introduction of retail amenities on the ground floor. The asset also benefits from parking provisions for 136 cars and 16 motorcycles.
Located at Viale Cassala 14/16 in the southwest quadrant of Milan, the asset benefits from excellent connectivity via its proximity to both local and international transport links, with Milan Linate airport less than 30 minutes by car. Further, the asset is well placed to benefit from the favourable occupier dynamics in the city’s office market as more companies look for modern office space outside of the city’s historical centre and CBD.
Marco Corti, Managing Director, Country Head of Italy for Barings, said: "This was an attractive opportunity for our strategy to acquire and reposition outdated office stock as Grade A space with market-leading ESG credentials. Milan is a market we know very well and one where we see significant opportunities for value as more occupiers make sustainability a priority and look outside the traditional prime areas of the city for space.”
Gunther Deutsch, Head of Transactions Europe and Managing Director at Barings, commented: “This was our sixth deal for this strategy in Milan - with three opportunities already realised and sold - and further builds our track record for a hands-on approach to investment and asset management.”