Patron Capital, Bluestone and Freo Group’s newly created partnership is buying a development site in Italy for a €75m residential complex.
The joint venture, created last year, has agreed to buy the site in Via Salomone 77 in the southeast of Milan to deliver an 18,000sqm complex of 200 apartments.
The project is on the site of an abandoned building that was formerly occupied by the Ricordi publishing company.
The companies said work on the site is expected to begin next year following the receipt of the building permit.
The latest deal is the third transaction for the partnership, which expects to invest around €250m to acquire and develop residential projects in Milan. The partnership previously acquired two sites in the Lambrate district.
Matteo Busà, an investment director and partner at Patron Capital, said: “This latest transaction is an exciting milestone for our partnership with Freo and Bluestone, bringing a further 200 units to our pipeline and taking our strategy to a new region of the city to significantly expand our footprint in Milan.
“Demand for new residential space in Milan remains high, while there is a limited supply of high-quality, efficient and sustainable space, so we anticipate strong demand for this project upon its completion.”
Paolo Rela, the head of asset management Italy at Freo, said: “The Via Salomone project confirms our commitment, alongside our partners, to ESGled urban regeneration in Milan. Replacing abandoned buildings with new high-quality developments will significantly contribute to the transformation of this part of the city, With the city continuing to attract new residents, the investment fundamentals of residential real estate as asset class remain strong in Milan.”
Andrea Bezziccheri, chairman at Bluestone, said: “Via Salomone 77 is a new development project in an exciting area that is witnessing significant urban regeneration in line with the current PGT for Milan, which is increasingly becoming a multicentric city.
“This is an opportunity for us to deliver a project of high architectural and living standards and aligned with the development policies of the ‘15-minute city’.”
To read the latest edition of the latest IPE Real Assets magazine click here.