Italy’s Green Arrow Capital makes move into real estate

This new fund targets the mid-sized residential market in Milan and Turin, focusing on urban regeneration projects with minimal environmental impact. These projects will feature low-emission buildings, renewable energy use, sustainable design and materials, and creating green spaces for the community.

The Mi.To Fund aligns with Green Arrow Capital's strategy of becoming a major real estate player, complementing their strengths in clean energy, digital infrastructure, private equity, and private credit. Continuing their commitment to sustainability, Mi.To focuses on digitalization and urban regeneration. It adheres to Article 8 of the EU's Sustainable Finance Disclosure Regulation, emphasizing ESG factors strongly.

Open to both private and institutional investors, the Mi.To Fund seeks to raise €150 million within 18 months. The Mi.To Fund leverages technology for efficient operations and is committed to responsible development practices.

The Mi.To Fund has already secured its first €40 million closing in a short timeframe and completed its first investment, supporting a residential project in Milan.

Alessandro Di Michele, managing partner and general manager of Green Arrow Capital, commented: ‘We’re entering the Real Estate market by capitalising on the Group’s expertise in alternative and green investments. This marks our first steps towards becoming a leading player in this high-potential asset class, where we will ensure value creation and significant returns for our investors. Our projects will focus on sustainable and technologically innovative urban regeneration, with the goal of becoming the leading Real Estate fund in the Milan-Turin area. This marks our first initiative in this key asset class, with further strategic projects already in progress.’

Pierpaolo Fraudatario CEO of Crea.Re Advisory, added: ‘This partnership represents a pivotal step in our growth, as well as an important opportunity to maximise our expertise in origination, structured finance, and real estate management. We firmly believe that our digital approach to the real estate market, combined with institutional management applied to the mid-sized residential sector, will drive success and innovation for both our partners and investors. The Mi.To fund marks the beginning of a series of initiatives we plan to develop in the near future.’

The Mi.To Fund will benefit from Crea.Re Advisory’s real estate expertise, offering assistance throughout all phases of the investment process: from origination and due diligence to project management and monitoring.

The Mi.To Fund's private clients gain access to pre-sale opportunities for residential units developed through the Fund's investments, potentially yielding double-digit returns and direct real estate ownership. Investors also benefit from a dedicated platform that provides real-time tracking of their investments throughout the entire lifecycle.

Besides Green Arrow Capital, the shareholders of Crea.Re Advisory include CreaRe Group and its Milan-based branch, Stabile Holding.