Barings Real Estate Advisers has bought its first asset for its value-add strategy.
The investment manager paid an Italian insurance group €44.35m for a Milan office asset.
The investment is being made through the Barings Value Add I Italy, an alternative investment fund managed by Kryalos SGR.
Paolo Bottelli, chief executive at Kryalos SGR, said: “The launch of the Value Add I Italy fund confirms the interest of global investors, and the strong standing of Barings, to invest in the Italian real estate market, committing capital to real estate development and asset management opportunities in major Italian cities.”
The 23,000sqm building, in Via Pola in Porta Nuova, includes ground floor retail space.
Gunther Deutsch, head of transactions at Barings Real Estate Advisers, said: “The acquisition of this office building, strategically located in Milan, is perfectly in line with our pan-European value-add investment strategy.
“It’s an excellent entry point for Barings Real Estate Advisers in Italy.”