Investment in Italy’s industrial, retail, and office markets increased by 54 per cent during the first six months of 2013 compared to the amount invested last year, according to data released by Cushman & Wakefield. During this period, transactions totaled €760 million compared to 2012 levels of €495 million.
Office investments accounted for 57 per cent of the activity in the market. Thirteen transactions were completed, totaling €430 million, according to the firm.
Milan was the most active city in Italy for office investors, which had six transactions totaling €235 million, excluding the Qatar-Hines Porta Nuova joint venture. Rome had four transactions totaling €130 million.
Investment activity in industrial properties reached €160 million in the first six months of the year, compared to no activity in 2012.
Total retail transactions were €170 million in the first half of the year, and represented 22 per cent of the deal volume. As investment increases, the firm expects that retail volumes will exceed office investments by the end of the year.
The sale of Market Central Da Vinci Rome, the largest retail centre in Italy, by AIG/Lincoln to GWM for €130 million, is the beginning of this cycle of increased activity, according to Cushman & Wakefield.
Stephen Screene, the firm’s head of capital markets in Italy, stated recently that good quality retail investments have “proven to be resilient in the downturn” and that his firm is assisting several new international investors who are actively negotiating “significant transactions” in the country.
