Union Investment enters Italian office market

Union Investment has entered the Italian office property market with the purchase of a redevelopment project in Milan.

Union Investment is acquiring the project from a real estate fund managed by Italian investor and developer COIMA in an off-market transaction. COIMA will continue to manage the investment for Union Investment through a new fund vehicle following completion. The purchase price was not disclosed.

The Hamburg-based real estate investment manager has secured the Piazza San Fedele 1–3 office building in Milan’s historic business district.

“As Italy’s main commercial center and one of the world’s leading fashion and design capitals, Milan offers excellent conditions for investments in the office sector. With its prestigious location in the historic city center, high sustainability standards and long-term lease to Bottega Veneta, Piazza San Fedele 1–3 is the perfect first investment for our anticyclical entry into the Milan office market,â