US developer-investor Hines and investment manager Blue Noble have finalised an investment of over €80 mln for the construction of new student accommodation in the heart of the Politecnico di Milano university campus in the Bovisa area.
The project, which was acquired through the Student2 fund managed by Antirion, will be built on land that is currently vacant covering 45,000 m2.
The plan is for two buildings that will take three years to build and are expected to be complete in 2025. One building will have 250 beds rented at subsidised rates. The second building, with free market rents, will be able to accommodate more than 300 students in spacious units. The buildings will be built in line with the highest international standards of sustainability and energy efficiency with the aim of achieving the LEED Gold certification.
The project also aims to help redevelopment of this neighbourhood with the introduction of new retail spaces and areas for socialising that connect the two parts of the city on either side of the railway line. This student residence will represent an important link with MoLeCoLa, the Milan Bovisa regeneration project in which Hines has invested and is acting as strategic advisor. With a surface area of over 90,000 m2, MoLeCoLa aims to become the new technological district.
Mario Abbadessa, senior managing director & country head of Hines Italy, commented: ‘Investing in Milan’s student population serves as a strong driver of the city’s growth and development. The location of this new student accommodation scheme allows us to extend our presence in the living sector and strengthen our presence in the Milano Bovisa area. This new investment complements the nearby MoLeCoLa urban regeneration project, illustrating Hines’ commitment to the region and our ability to deliver high quality schemes meeting the evolving demands of Milan’s residents.’
During the transaction, Hines was assisted by DLA Piper for the structuring phase, the regulatory aspects and relationships with the financing banks, as well as by Linklaters for the legal, administrative and urban planning issues. EY took care of the tax aspects, including the tax structuring and acquisition phase, Yard Reaas Group managed the technical issues and JLL provided commercial advice. In addition, Ammlex oversaw town planning, NCE advised on the environmental aspects and the architectural project was designed by Park Associati. Finally, Dils was the commercial advisor.
