26 October, Il Sole 24 Ore
The future is still volatile and uncertain. The reason is the current political situation and not the economy. Komal Sri-Kumar, president of Sri-Kumar Global Strategies, explains Italy’s situation during the Real Estate Forum organised by Coima in Milan. The picture is even more evident when analysing the figures. Sri-Kumar says: “The decrease of the unemployment rate has gone from two digits to one digit. In the meanwhile, the GDP has been growing for the last 18 quarters, and it will remain stable for the rest of the year. The stock of non-performing loans has reduced considerably (-10%)”. NPLs are expected to further decrease also for the next year.
Urban planning City Councillor Pierfrancesco Maran briefly pictures to the operators and the international investors Milan as the city where to invest in the future. “Milan is evolving. It will soon welcome 50 thousand people. For this reason, we studied a territorial zoning plan able to expand the investment areas. We chose Santa Giulia for the Olympics games. Moreover, the city will also grow thanks to the requalification of the old stations. We want to incentive investing in the suburbs through partnerships between the private and the public sector”.
The operations recently concluded in Milan, like the one concerning the Legance headquarters in Via Broletto sold to Hines, show reducing returns, aligned with the European trend set around 3.15-3.3%. The demand for new, modern and technologic offices is still high, in the city centre as well as elsewhere. 62 thousand workers are expected to arrive in the city in the next five years. Meanwhile, the rest of the country provides investment opportunities in the logistics and hospitality segments, both offering good potential and returns.
Source: Il Sole 24 Ore
Translator: Cristina Ambrosi