Following a buoyant Q4 2013 with €1.6bn of transactions recorded for the entire year 2013 totaling EUR3.3bn invested, the Italian market started 2014 with a promising first quarter as the investment volume reached EUR738m. Ongoing price adjustments combined with good quality or big portfolios of products available on the Italian market has allowed strong market activity. The results recorded over the first quarter are quite encouraging for the rest of the year and yearly volume for 2014 is expected to equal the 2013 performance.
As in 2013, the market activity has continued to be dominated by cross-border investors with Blackstone on the top of the list. During the first quarter this fund has acquired assets for a total of EUR370m through the purchases of 2 multi sector portfolios. BNP Paribas RE has been another very active cross-border player, operating on a smaller lot size. These funds are in a direct competition with local investors (funds, institutions or private investors).
The retail sector continued to attract the biggest part of capital flows and has been the most sought after asset type over the first quarter of 2014. However, a sharp rebound has been noticed in the other sectors, thanks to the sale of a logistics portfolio acquired by Blackstone as well as hotel and office transactions.
Source : DTZ (Groupe UGL)