Coima closes 2016 with two deals worth €200m

Coima Res has signed an agreement to acquire a stake in a double office asset in Milan worth €140 mln, comprising a core-plus low rise office building covering 5,200 m2 and a value-added high rise office building with 14,400 m2 in Via Bonnet, Porta Nuova.

Coima Res will contribute a 36% pro-rata share of the total investment (€51 mln, of which approximately €25 mln of equity) and the JV partner, Coima Opportunity Fund II, the development fund backed by an unnamed Sovereign Wealth Fund, will contribute the remaining 64%.

'The metropolitan area of Milan is among the most competitive in Continental Europe, nevertheless international grade A office supply is still limited,' commented Manfredi Catella, CEO of Coima Res. 'Following the composition of the prime office core portfolio of approximately €500 mln in the last 6 months with a net initial yield of 6.8% considering the current share price, we believe that it is beneficial to our shareholders to start taking exposure in growth assets in primary locations with limited equity exposure in JV with world class investors.'

The low rise property is currently let to multiple tenants and Coima seeks to lease the remaining vacant space at similar levels. The high-rise building is vacant, and will be completely redeveloped. A 36-month retrofitting period is expected.

The Porta Nuova district in Milan is fully owned by Sovereign Wealth Fund Qatar Investment Authority and managed by Coima. 

On the same day, Coima Sgr announced its second acquisition in partnership with global investment firm KKR, purchasing a retail park in Northern Italy for €57 mln. The Le Vele asset, located near Lake Garda in Desenzano, covers around 25,000 m2 and has attracted tenants for its 32 units including H%M, OVS, OBI and Trony.

The acquisition was finalised by COIMA Core V Fund, which is backed by KKR Fund and focuses on retail acquisitions.

Coima said it planned to consolidate the park through a medium-term growth plan.