CBRE Investment Management has purchased a 16,600 sqm student housing complex in Milan.
The seller is Manifatture Milano S.p.A.
The forward funding transaction, agreed in 2021 on behalf of a fund sponsored by the firm, has seen the seller undertake a comprehensive refurbishment of the building to deliver high-quality homes for student accommodation.
The asset was pre-let to a national student operator CampusX.
The building, providing 448 rooms (580 beds), comprises a reception area, lounge/communal area, cinema room, library, private dining room, gymnasium & fitness studio, external communal spaces, launderettes, and bicycle storage.
The property is located in the former Manifattura Tabacchi in the northern part of the City of Milan, in a rapidly changing semi-central area adjacent to the “district”, one of the largest city planning transformation programs in Italy. The area has excellent transport links with an underground station 100 metres from the property and the overland tram. Within 800 meters, the University of Bicocca is located which has more than 37,000 students. Within the area, there are two cultural centres (Arcimboldi Theatre and Hangar Bicocca), retail hubs (Bicocca Village) and sports facilities.
Sandro Campora, Country Manager Italy, CBRE Investment Management commented: “There is an undersupply of good quality student accommodation in Italy in general and Milan in particular, and we are very pleased to deliver homes to meet this need. Partnering with renowned student housing operator, CampusX, provides us with the reassurance of providing well-managed homes to students as well as secure long-term income for our investors.”
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