28 NOVEMBER 2024


VALESCO MAKES LANDMARK INVESTMENT IN €200 MILLION MONCLER GLOBAL HQ IN MILAN, DEVELOPED BY COVIVIO

  • Largest office transaction in Italy since 2022

  • Global luxury fashion brand Moncler set to relocate to trophy scheme in Milan’s prime Symbiosis district in 2025

  • Continues Valesco’s march of investing in its high conviction mission critical office thesis across prime European gateway cities

The Valesco Group (“Valesco”), the fast-growing London headquartered European real estate fund manager, has announced the majority controlling investment in Moncler’s state-of-the-art global headquarters in Milan, being developed by Covivio SA for delivery in 2025. The price of circa €200 million reflects a net initial yield of 5.5% on stabilised rental income. The landmark transaction underscores Valesco’s commitment to investing in mission critical, best-in-class, ESG-centric assets in Europe’s top-performing urban markets. It also demonstrates Covivio’s ability to conceive and develop premium office projects that are attractive to both corporates and investors.

Beyond being the largest office transaction in Italy for more than 2 years, it marks the second consecutive year that Valesco has executed a major European country’s largest office investment, following the 2023 landmark purchase of Sequana Tower in Paris.

The 38,000 sqm, six-storey property, designed by renowned architects Antonio Citterio & Patricia Viel (ACPV) and developed by Covivio SA, embodies innovation and sustainability. Upon its completion in 2025, it will serve as the global headquarters of Moncler, one of the world’s most prestigious luxury fashion brands.

Moncler, founded in 1952 and with a market capitalisation of c.€13 billion, has signed a 15-year inflation-linked lease without breaks. The headquarters is set to provide a new benchmark of amenities for Moncler employees, including a ground-floor gym, a variety of dining experiences, and a multi-purpose “shed” space for exhibitions and fashion events. It will serve as a cultural hub during Milan Fashion Week, enhancing its role as part of the city’s vibrant fashion ecosystem.

Targeting LEED Platinum certification, the building boasts advanced sustainability features such as photovoltaic panels, rainwater collection systems, and a repurposed industrial chimney for bioclimatic air circulation. Its construction prioritises energy efficiency, natural materials, and indoor air quality, reflecting the ESG best practices that top-tier occupiers demand.

Located in the heart of Milan’s Symbiosis fashion quarter, the property benefits from its proximity to other blue-chip fashion brands including LVMH, Prada and Golden Goose. The area’s appeal is further boosted by the ongoing Scalo Porta Romana redevelopment and preparations for the 2026 Winter Olympics with the nearby Olympic Village.

Shiraz Jiwa, Founder and CEO of The Valesco Group, commented:

“The recovery in demand from dynamic, blue-chip corporates for the highest quality office space for their talent is well and truly advanced and is underpinning the bifurcation thesis. We are pleased to be partnering with Covivio, which is renowned for the quality of its developments and understanding of occupier needs and is delivering an exceptional scheme.

In Moncler, we identified an occupier who shares our philosophy that the office is a critical business tool for talent enrichment. This investment is a testament to Valesco’s laser focus in identifying and securing high-quality, mission-critical assets in Europe’s most dynamic markets. Moncler’s global headquarters is a pinnacle of world-class design, sustainability and occupier quality, further solidifying Milan’s position as a leading global city.”

Valesco was advised by Dils (buyside), Chiomenti (legal and structure), Marchetti (notary), PwC (tax), A&O Shearman (corporate) and Arcadis (ESG and technical).