Tristan Capital Partners has bought a portfolio of Italian retail assets for its third opportunity fund.

The investment manager said it paid €122m ($137.6m) for four shopping centres for its European Property Investors Special Opportunities (EPISO 3) fund in an off-market deal.

Two of the assets are in the northern Piedmont region, with one each in Rome and Sicily. 

Around 48% of the portfolio’s total rental income comes from the former two. 

The assets have an overall occupancy of 93%. 

Pradera will asset manage the portfolio, which was sold by listed French retail investor Altarea.

Cameron Spry, head of investment at Tristan Capital, said Italy was “firmly back on the radar screens of pan-European investors”.

The company, he said, had been looking to make a first major move in the market “for some time”.

“When the chance arose in an off-market deal to acquire these good-quality shopping centres at attractive yields and with solid cash flows, we seized the opportunity,” he said.

“Another draw for the acquisition was that we were able to secure attractive financing terms for the assets.”