Barings has sold the Parco Fiore Retail Park near Treviso in Italy to an Austrian institutional investor for an undisclosed amount.

Barings said the fully-let 27,000sqm asset was sold through an Italian real estate fund managed by Kryalos, on behalf of a core investment strategy.

The retail park, which was built in two phases and delivered in 2017 and 2019, comprises 14 retail and food units. Barings acquired the asset in December 2017.

Marco Corti, managing director and country head real estate Italy, said: “An attractive offer for the acquisition of Parco Fiore convinced us to contemplate the sale in order to realise profits and recycle capital into other opportunities in our investment pipeline.

 “The business plan for the asset has largely been realised, with the asset being delivered to a high standard and fully leased to a number of very strong tenants, which has led to a sustained level of footfall growth since its opening.

“Despite the recent challenges facing the retail sector due to Covid 19, our expert team has been able to generate good value and deliver attractive returns to our investors over the holding period.”

Gunther Deutsch, managing director, head of real estate transactions – Europe at Barings, said the latest disposal is the firm’s second realisation in Italy in recent months, following the disposal of the Corso di Porta Vigentina 9 office building in Milan in May.

“We continue to look for further opportunities to recycle capital into core, core-plus and value-add strategies across Europe, with a focus on our strong conviction asset classes: offices, logistics and the everything with beds sector, including build to rent, student housing and micro/serviced living.

“This is with a particular focus in the Nordics, the Netherlands, Germany, the UK, Italy, France and Spain.”

Paolo Bottelli, CEO – Kryalos, said: “The Italian real estate market is performing well and continues to attract interest from institutional investors, leading to positive flows of international capital in all asset classes.

“The sale of the retail park is a great opportunity to capitalise on the operational performance of the asset, and to realise strong returns.”

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