Friday, May 17, 2013
ROME (AFP)--Qatar's sovereign wealth fund has bought a 40% stake in a new 290,000-square metre skyscraper project near the centre of Milan with a commercial value of 2.0 billion euros ($2.6 billion), the companies said on Friday.
The project has already involved the construction of the skyscraper headquarters of Italy's biggest bank UniCredit SpA by Argentine architect Cesar Pelli.
"Porta Nuova is one of the most prestigious urban renovation projects in Europe," real estate giant Hines Italia and Qatar Holding said in a statement.
Texas-based Hines' Italian arm leads the project.
"We are confident it can be a strategic engine for development and economic growth," said Manfredi Catella, chief executive of Hines Italia.
"The agreement is a fundamental signal for the Italian economic system and the international capital market," he was quoted as saying.
Italy's property market has plummeted in recent years, with the number of sales falling by more than a quarter in 2012 compared to the year before.
Qatar Holding last year bought a luxury resort on the Italian island of Sardinia with one of the country's most beautiful stretches of coastline.
In 2012, Qatar also set up a joint venture with Italy with a EUR2.0 billion fund to invest in Italian business including in fashion, food, tourism and design.
(END) Dow Jones Newswires
17-05-13 0859GMT
