Ardian makes first investment in residential sector with Milan deal

French private investment house Ardian has made its first investment in the residential sector with the acquisition of 4000 square meters property located in Milan at Via Giuseppe Revere 3.

French private investment house Ardian has made its first investment in the residential sector with the acquisition of 4000 square meters property located in Milan at Via Giuseppe Revere 3.

The building was acquired by Ardian through an investment vehicle that will be managed by Investire SGR, an independent real estate asset management firm.

The historic property has a gross floor area of approximately 4,000 square meters and dates back to 1898. It is located in the Magenta district, one of the most beautiful and elegant areas of Milan, and is on the doorstep of Sempione Park, a haven of green space at the heart of Milan’s historic city centre.

The property is surrounded by landmark buildings including the 15th-century imposing Sforzesco Castle and museums, the Arena Civica, the Arco della Pace and the Triennale di Milano.

The Arena Civica is a large amphitheatre born by the will of Napoleon in the early 19th century and today one of the city’s main multi-purpose sports facilities; the near Arco della Pace is a triumphal arch and one of the most important symbols of neoclassicism in Milan; in front of the park is the Triennale di Milano, an international cultural institution which hosts exhibitions, conferences and events.

The eight-story building consists of seven floors above ground and one basement floor, with two urban villas also overlooking the inner courtyard. After being acquired by Ardian, the building will be refurbished to the highest design and sustainability standards. It will use renewable power sources such as geothermal energy, energy-saving luminaires, automated management systems and high thermal performance of the building envelope.

The refurbishment will be completed in partnership with the De Amicis Architetti studio, specialists in modern luxury design and preserving historic architectural features. New, high-quality finishes and large terraces overlooking the park for use by residents will complete the refurbishment project.

Ardian continues to invest in Italy with a “Build-to-Green+” strategy to fill the scarce supply of sustainable buildings across the office market.

After acquiring a Milan office building on Amerigo Vespucci 2 street in December 2022, Ardian is refurbishing the building to achieve net-zero energy standards. Ardian will replicate that strategy in the residential market with the acquisition of this historic building on Revere 3, which will become a best in class building for energy performance.

“We see interesting and attractive investment opportunities in Europe’s residential property market. Italy, for example, has a scarce supply of quality buildings that meet the market’s highest sustainability standards. To put that into perspective, about 80 per cent of residential properties in Italy were built before the 1980s. Milan is also experiencing growing demand for different types of accommodation particularly in student housing, where need far exceeds supply thanks to a growing young population and increasing number of international students. There are many opportunities for value creation in multifunctional urban regeneration projects including a mix of residential, office and commercial use. This is especially the case for projects focused on reaching new sustainability goals, for example around improved energy consumption and social impact.” Rodolfo Petrosino, Head of Real Estate Southern Europe, Ardian

“We have always invested in redevelopment projects and focused on improving the sustainability credentials of these buildings. We will continue to follow this strategy in the office market, in addition to replicating our approach in the residential sector. Despite the current macroeconomic backdrop, the demand for new residential units of the best quality and with the highest sustainability standards continues to grow. This is due to the scarcity of quality housing and a polarization in the market, with ESG regulation driving demand towards low-carbon properties. Milan is a hotspot for sustainable urban transformation according to the smart city model, attracting significant property investors and managers. It is a blueprint for a new type of residential market which can be replicated in other cities.” Matteo Minardi, Head of Real Estate Italy, Ardian

“We are proud to launch this new investment vehicle with Ardian, which has chosen Investire SGR as partner for its first residential transformation project. Thanks to our proven track record and consolidated experience in redevelopment projects and urban regeneration, we further consolidate our leadership in the residential segment as a reference partner for international investors.” Alessandro Polenta, Managing Director, Investire SGR.

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