Privately held US-based, developer-investor Hines has announced plans to invest around €350 mln over the next four years in a new major residential-led mixed-use scheme in Milan.
The Houston, Texas-based investor last week completed the acquisition of the Ex Trotto area and the Ex Training Centre complex in Milan’s San Siro district from Snaitech through the Invictus real estate fund, established and managed by Prelios SGR.
The 150,000 m2 site, formerly a racing track and sports complex, has not hosted any sporting events since 2013. It was launched for sale over two years ago with Hines signing a preliminary agreement last year. Closing will now allow the US group to transform the abandoned area into a major residential-led mixed-use scheme.
An initial proposal, in line with the green character of the district, could include a park of more than 30,000 m2 and a residential offering comprising a significant number of regulated rentals, Hines said in a statement.
The transaction is further confirmation of the firm's 'interest in the living sector, comprising student housing, multifamily and senior housing, as well as its focus on Milan', it added.
‘This is an important investment in the future of Milan,’ said Lars Huber, CEO at Hines Europe. ‘We will leverage our expertise in urban regeneration and residential development projects across Europe and around the world, working with local authorities and partners through our team in Italy to create a dynamic and sustainable new community. Our investment in Milan underlines our strategy to be a leader in residential and major urban mixed-use developments in Europe, with a strong presence on the ground in key locations.’
Mario Abbadessa, senior managing director and Hines Italy country head, commented: ‘We’re delighted to have completed this transaction, which, to us, represents a big step forward in Milan’s urban development and is consistent with our philosophy of long term investment based on living and rentals.’
He added: ‘I believe that the serious health emergency that has struck Italy and the rest of the world will strengthen real estate investment activity from those with longer term horizons and a vision of the transition toward a new normality, where rentals and services aimed at families will emerge as the key elements.’
Hines was advised by Chiomenti; Belvedere Inzaghi & Partners and Gattai, Minoli, Agostinelli & Partners. Vitale & Co acted as financial advisor with EY advising on tax issues. The masterplan was overseen by KPF, assisted by Starching as local architect, Land as landscape architect and by Freyrie Flores Architettura. Prelios Integra jointly coordinated the project with Perelli Consulting. Technical work related to the environment was carried out by REAAS while mobility and traffic by MIC – Mobility in Chain.