The Italian real estate market is once again in the sights of foreign investors, but it is an opportunistic interest and will probably remain so in the next two-three years. This is the opinion of Massimo Caputi, vice president of Prelios, called to comment in a conference on the return of interest in Italy that emerged in the last year on the part of many foreign funds.
Last in chronological order is the American Blackstone who, according to rumors reported today by the Sole 24 Ore, would be ready to put 800 million euros on the plate to buy a package of Italian public properties.
“I think that Italy will remain prey to foreign investors with an opportunistic perspective also in the next two-three years – said Casputi -. We too are in contact with some foreign investors but their logic is purely opportunistic”.
In 2013, investment volumes in Italian real estate more than doubled compared to the minimum peak of the previous year. According to data by Jones Lang LaSalle, from 1,8 billion in 2012 it went to 4,5 billion euros, in line with the average of the last ten years. The type of investors has also changed, with a marked increase in 2013 of the foreign component, which has returned to balance the domestic one.
Among the reasons holding back the market and its appeal, Caputi continues, are the chronic regulatory uncertainty that afflicts the sector and the absence of national buyers: “Italian banks continue not to provide loans for real estate transactions. We do full-equity transactions on behalf of foreign investors or debt transactions with foreign banks”.
According to the entrepreneur, one element that could give movement to the market will be the conclusion of the asset quality review imposed by the ECB on banks, which "will have to align the values of the assets in their portfolio and thus be able to start selling".
Incentivising investments in the residential market could be, according to Caputi, another way to attract long-term investors: “It is essential that incentive mechanisms are created to allow institutional investors to invest in the residential sector. In Germany and America about 82% of the population are renters, while in Italy 80% of people are landlords. The operating models are elementary, a few rules are enough to have a stable flow of capital towards rental properties”.
