Patrizia will invest 400 million in residential housing in Italy
In 2026 a 250 million dowry for student and multifamily housing, up to 150 for accessible housing. Projects to be launched in 12-18 months and in cities such as Milan, Rome and Bologna
An investment plan to put on the ground between 350 and 400 million euro over a period of 12-18 months, mostly concentrated on the residential dimension (student halls, coliving, managed-rent residential, the so-called multifamily), but also - for a share of at least one third - on forms of affordable housing, on the Northern European model. After offices and logistics, Patrizia - one of the largest asset managers in the real estate sector, founded 40 years ago in Germany and with around 55 billion in Aum globally - is relaunching the residential 'card' in Italy as well. The investment plan was illustrated to Il Sole 24 Ore by the Country manager for Italy, Pierluigi Scialanga.
'We have been in Italy since 2018 and since then we have invested more than one billion in assets,' explains Scialanga. 'From 2020 to 2025 we have managed a portfolio rotation and transactions of equal volumes. We have also invested a countervalue of EUR 600 million in infrastructure (renewable energy and energy efficiency). In total, to date, we manage about EUR 1.6 billion in AUM in Italy'.
Up to now, Patrizia has operated in Italy mainly through the office and logistics sector, both with the management of income-producing properties and in a value-add logic (acquisition, restructuring and valorisation of existing assets).
"In line with the choices at a European level, the new investment plan," explains Scialanga, "envisages investments of about 250 million and focuses more on living, residential, especially student halls, and multifamily (i.e. the professional management of new and rented residential units) and coliving. Especially in the first two segments in Italy there is structurally little product, but we believe that an adequate offer can respond to a present and widespread demand".
Even on destinations, there is clarity of purpose. "When we finance a project, we use half bank loans. We focus on a few large cities: Milan, Rome, Bologna, working in collaboration with local developers and taking into consideration both reconversions of existing assets, for example offices that become student halls of residence, and greenfield projects, provided they have already been authorised, since our policy does not envisage assuming the risk deriving from the authorisation process," the manager clarifies.
Social and affordable housing, on the other hand, are a separate item. "After the success of the first fund that invested in these assets in Northern Europe," Scialanga continues, "we are in the process of raising the second pan-European Sustainable Community Fund by Patrizia. Out of an endowment of about half a billion, about 75 million are available for projects in Italy and - added to a loan of the same amount - they can have a multiplier effect until doubling to about 150 million. We believe that, as we are already doing in Northern Europe and Germany, there can also be investment opportunities in Italy that combine profitability and the need for rents that are lower than market rates'.
