Government Funds Invest $380 Million in Milan Properties

Government investment funds in Abu Dhabi, Qatar, and Azerbaijan have invested a combined $380 million in three different properties in Milan, Italy. According to a Wall Street Journal report, The State Oil Fund of Azerbaijan (SOFAZ) jointly with the sovereign-wealth funds of Abu Dhabi and Qatar will use the funds to both buy and develop the properties in the fashion hub; individual transaction details were not disclosed by the funds. The properties include:

SOFAZ is buying the Palazzo Turati at Via Meravigli 7, an office property in Milan's historical Central Business District, for €97 million, marking the fund's first real-estate purchase in Italy;

Abu Dhabi Investment Authority agreed to buy a 1960s building in the Italian northern city, which Milan-based Corriere della Sera newspaper said will be demolished and replaced by a new tower;

and Qatar Investment Authority completed a deal to acquire the historical building that housed BNL's (a subsidiary of BNP Paribas) headquarters in Piazza San Fedele in Milan.

All three assets will be managed by Italian property company Coima SGR, according to a person familiar with the transactions. For more news and information visit Blumberg Partners.

China Construction Buys Plaza Construction

Plaza Construction, a construction management and general contracting firm, was sold for an undisclosed price to China Construction America, a subsidiary of China State Construction Engineering Corp., one of the largest builders in China. Paul Hastings LLP advised Steven Fisher and other family members of real estate firm Fisher Brothers in the sale, which originally founded Plaza Construction to provide construction management and general contracting on Fisher Brothers projects. According to a press release, Plaza will continue to operate autonomously under the name Plaza Construction.

"Our firm has always maintained a very 'hands-on' approach to working with our clients and managing world class construction projects for nearly 30 years," said Richard Wood, Plaza Construction CEO. "With the recent acquisition, Plaza is poised for accelerated growth with enhanced resources and bonding and procurement capabilities."

In addition to the purchase of Plaza Construction, China Construction America is also building a $3.4 billion casino and resort in the Bahamas, and has a number of significant contracts in Abu Dhabi, 100 miles down the road from Dubai in the U.A.E.

For more news and information visit Blumberg Capital Partners.