Risanamento has granted investor IdeaFimit one more month to raise the necessary equity to buy the flagship Milano Santa Giulia development project.
Risanamento has granted investor IdeaFimit one more month to raise the necessary equity to buy the flagship Milano Santa Giulia development project.
In a statement, the listed Italian property company said it has extended the exclusivity period granted to IdeaFimit to the end of April.
The two companies have been in exclusive discussions for months on the Norman Foster-designed mixed-use project in Milan, which comprises almost 1 million m2, mostly for residential, office and retail use.
Milan-based Risanamento has been trying to sell the development site for months, but talks with a previous investor consortium fell through in late 2011. The company received a non-binding expression of interest from IdeaFimit in late 2012.
'SGR Idea Fimit has asked for an extension with the aim of continuing the positive discussions with investors to raise the necessary equity and to continue talks with the banks regarding the financial structure of the operation,' Risanamento said.
Banca Leonardo is advising on the deal.
Earlier this year, Risanamento sold 118 Avenue des Champs-Elysées in Paris to Pramerica Real Estate Investors.
The heavily indebted developer has been seeking to sell several assets in the past few months in an effort to repay its debt load. In addition to the Paris property, the company is in talks to divest the Sky office complex under development in Milan to California-based private equity fund Global Asset Capital. The project, due to house the headquarters of pay-TV operator Sky, involves debt of around €194 mln and has yet to be completed.
