European property asset manager Praemia REIM Italy Sgr has acquired a prominent real estate property located at Via Bagutta n. 20 in Milan, Italy, from Artisa Group.
The company acted on behalf of an investment vehicle it directly manages, funded by third-party investors.
Although the parties did not reveal the purchase price, according to market sources it amounts to over €40 mln, which is a 20% increase compared to the €35.5 mln paid by Artisa Group in February 2022.
Situated in the heart of Milan's renowned fashion district, the currently vacant property is just steps away from Via Monte Napoleone, a global hub for high-end fashion. The vacant building comprises seven above-ground floors and two basement levels, totaling 3,600 m2. The property features a street frontage on Via Bagutta and a spacious internal courtyard overlooking the Archdiocesan Seminary of Milan.
Luca Turco, CEO of Praemia REIM Italy Sgr commented: “We are happy to have completed this deal which consolidates our role as a partner of institutional and private investors and allows us to include in our portfolio a new trophy asset of particular relevance for the centrality of the property and its future value enhancement".
Praemia REIM Italy Sgr plans to undertake a comprehensive renovation of the property, transforming it into a mixed-use building with both office and high-end retail spaces. Studio Asti Architetti is serving as the design and construction advisor for the project, which aims to achieve the highest standards of efficiency, architectural quality, and sustainability (LEED certification).
The redevelopment project envisions commercial spaces on the ground, first, and basement levels, while floors two through six will be dedicated to office space. The second basement level will be utilized for technical areas.
Given its prime location and planned redevelopment, this property is likely to attract interest from luxury retail brands seeking high-quality spaces in Milan.
UniCredit's Wealth & Large Corporate Department provided tailored financing to support the acquisition.
Artisa Group was advised by Colliers Italia's Capital Markets Team and Studio Gatti Pavesi Bianchi Ludovici. Praemia REIM Italy Sgr and its investors were assisted by Prelios Integra and by the Malcovati Orombelli Magistretti Law Firm. UniCredit was supported by the Legance law firm.
