Italy: Investment manager PATRIZIA has invested €70 million in the forward purchase of a new-build PBSA scheme in Turin, on behalf of one of its international institutional clients.
The site is located in Via Frejus to the west of the city centre, which is within one kilometre of Politecnico di Torino, home to around 33,000 students, and 3.5 kilometres from the University of Turin, which has more than 80,000 students.
The development comprises 582 en-suite studio bedrooms, a gym, study spaces, a sky lounge, laundry facilities, green outdoor space and 142 basement parking spaces. The scheme spans 13,000 square metres of residential space over five floors and is located within a 10-minute walk of a metro station and tram stop.
Supporting PATRIZIA’s ESG strategy, the project has been designed to achieve LEED Gold certification, incorporating measures to improve energy efficiency, lower carbon emissions and enhance environmental quality. Scheduled to open in September 2023, the development is being delivered by Stonehill Holdings, a specialist developer of pan-European student accommodation.
Pierluigi Scialanga, head of transactions in Italy at PATRIZIA, said: “This deal increases our AUM in Italy to €1.1 billion and is a very exciting acquisition for PATRIZIA as we enter a brand new student market that is characterised by an extreme undersupply of PBSA serving what is the EU’s third largest student population. Turin itself has a very prestigious and sought-after higher education sector, yet it currently offers only one bed for every 16 students, making this an exceptionally compelling investment opportunity for our global client base.”
Antonio Marin-Bataller, managing director pan-European transactions, said: “This latest acquisition strengthens our footprint and PBSA portfolio across Europe. We’ve completed several major transactions in this highly attractive sector in the last 12 months including Barcelona, Dublin, Hamburg and Copenhagen, just to pick out some examples. We believe that despite the pandemic and the current uncertainty in the markets, there will always be demand for high quality PBSA in select European cities that are innovative and digitally well-connected. As an asset class, PBSA remains a key focus for PATRIZIA’s living sector strategy.”
PATRIZIA was advised by Savills, DLA Piper, Studio Pirola and Rina Prime. Stonehill was advised by K&L Gates, Drees & Sommer and Atrium ARE.
The deal comes just a week after PATRIZIA acquired two PBSA assets in Barcelona.
