AXA Investment Managers - Real Assets has completed the acquisition of Via della Chiusa 2, an iconic office complex located in Milan’s historical city centre, via a share deal, for €120 mln.
Although the name of the vendor was not disclosed, it is believed to be US group NorthStar, which bought the asset in December 2014 as part of a larger €1.1 bn 11-property strong portfolio acquisition from SEB Asset Management, now part of Savills Investment Management.
AXA IM - Real Assets said it acquired the asset on behalf of one of its clients and as part of its value-add strategy.
Alessio Lucentini, head of asset management & transactions in Italy, at AXA IM - Real Assets, commented: 'Having completed over €1.6 bn of transactions over the last three years, €700 mln of which has been dedicated to Milan office assets, this latest acquisition is further evidence of our confidence in the long-term prospects of the Italian real estate market, and the sustainable occupier demand in the country’s financial hub of Milan, in particular.'
Via della Chiusa 2 comprises two separate buildings, each with its own entrance, arranged over four and six floors respectively, in addition to two basement levels offering 122 parking spaces, totalling around 25,000 m2. The asset is fully let and is centrally located in the historical centre of Milan.
The asset’s primary tenant with 70% of the gross space is Ernst & Young which is due to vacate the building in August 2016. AXA IM - Real Assets said the relocation will offer it the opportunity to undertake a comprehensive refurbishment programme, upgrading the building to Grade A standards.
