Global investment manager Barings has acquired two warehouses on the outskirts of Milan, Italy.
Financial details were not disclosed. Barings made the purchase on behalf of an institutional investor.
Located in the satellite towns of Cavenago and Cambiago, the properties comprise 66,100 m2 and 24,100 m2 respectively. Both are fully let on long-term leases to an Italian listed company.
Both assets are in prime strategic locations that allow for direct access to motorways which are rated as the most important Italian arteries for logistics. The highway runs east to west along the Mediterranean and the Alpine logistics corridors - a short distance from Milan city centre.
Valeria Falcone, managing director, real estate country head of Italy and portfolio manager at Barings, said: ‘This transaction presented a rare opportunity to acquire two core assets in an off-market transaction for our investor.
‘The assets are located a short distance from Milan city centre, in an undersupplied area with potential for rental uplifts and yield compression. The e-commerce sector is expanding rapidly in Italy, which is likely to generate a growing demand in the region for high quality logistics assets such as these two properties.’
Gunther Deutsch, Barings’ managing director and head of real estate transactions for Europe, said: ‘This acquisition represents a milestone for Barings in Europe as it brings our logistics transactions total to over €600 mln.
‘We remain interested in expanding our logistics activity further in our target countries of Finland, Sweden, the Netherlands, Germany, UK, France, Spain and Italy and we continue to look for properties in risk sectors from core to value add.’