Global investment giant AXA Investment Managers - Real Assets (AXA IMRA) has purchased a prime retail asset in the centre of the Italian city of Venice, from a private investor for €45.75 mln.
Serving as Zara's flagship outlet in Venice, the high street property on Calle Zorzi totals 2,660 m2 arranged over five floors, making it one of the largest retail stores in the city.
'This acquisition represents an excellent addition to our portfolio, providing us with exposure to the retail market of one of Italy’s most dynamic and frequented cities, Venice. This asset makes a significant real estate investment on account of its unrivalled location, prime quality and the strong covenant of its tenant, Zara,' commented Alessio Lucentini, head of asset management & transactions for Italy, at AXA IMRA.
The property was launched in its current form in October 2017 following redevelopment from office use. Zara, part of the Inditex Group, has committed to a long-term lease.
'More broadly, we remain confident in the ability of the retail sector to provide secure, long-term income streams with regards to the best properties in the strongest locations and we continue to harness our local team’s expertise to seek out value enhancing opportunities for the benefit of our clients,' concluded Lucentini.
