Qatar Holding has bought a 40 percent stake in a new 290,000-square metre skyscraper project near the centre of Milan, it was announced on Friday.
Porta Nuova represents one of the most prestigious city center mixed use developments in Europe with a market value in excess of € 2 billion. The project is transforming the city of Milan by creating a new central district. The central building of Porta Nuova, the Garibaldi, is the tallest structure in Italy and a beacon for the city.
The deal is expected to bring much relief to the Italian property market, which has plummeted in recent years.
Qatar set up a joint venture with Italy in 2012, with a 2.0 billion euro fund to invest in Italian businesses including in fashion, food, tourism and design.
Qatar Holding’s investment in Porta Nuova further diversifies its global portfolio in general, and increases its participation in the Italian real estate market in particular. The landmark project is expected to have a transformative impact for Milan and create value for stakeholders.
Jeff Hines, Hines President and CEO; “Porta Nuova represents one of the most important developments for the firm and for our investors. Hines has invested in the future of Italy not only Porta Nuova, but also with the creation of a significant in-country investment management platform.”
Manfredi Catella, Hines Italia SGR CEO; “The partnership with Qatar Holding represents a strategic step for our investors and for Hines Italia SGR and confirms Porta Nuova as one of the most attractive investment in Italian real estate. Italy’s territory is one of the most important natural resources of the country that can support economic growth in the future.”
Qatar Holding, a wholly-owned subsidiary of Qatar Investment Authority, is a global investment institution and a preferred partner of choice for investors, financiers and other stakeholders. Key investments of Qatar Holding include Agricultural Bank of China, Barclays plc, Canary Wharf Group (via Songbird Estates), Costa Smeralda resorts, Credit Suisse Group, Harrods Group, Hassad Food Company, Iberdrola SA, J Sainsbury plc, London Stock Exchange, Lagardere, Porsche, Qatar Exchange, Qatar Telecom, Qatar national Bank, Santander Brasil and Volkswagen AG.