JV between SFO Capital Partners, Edmond De Rothschild REIM and GARBE Industrial Announces Second Logistics Development in Milan

London, March 10th, 2025 – The joint venture between SFO Capital Partners, a London-based real estate investor and investment manager, Edmond de Rothschild REIM, through one of its pan-European funds and GARBE Industrial, has completed the acquisition of a last-mile logistics development in Torrevecchia Pia (PV), south of Milan. GARBE Industrial Real Estate will act as the development manager and local operating partner.

This transaction marks the JV’s second investment following the acquisition of MilEast Logistics Park in December 2024, reinforcing its commitment to building a high-quality logistics portfolio across key European markets. The new development aligns with the JV’s investment strategy of targeting supply-constrained locations that benefit from strong demand fundamentals, high barriers to entry, and connectivity to major urban centers.

Developed through Eterea Fund, managed by Prelios SGR, the project offers a fully permitted leasable area of approximately 53.000 sqm and enjoys a prime and strategic location at the intersection of two of Italy’s most critical logistics markets. Situated in one of the most attractive areas of Lombardy, in the province of Pavia and within the South Milan submarket, the site features a strategic position due to its proximity to the A50 (South-West ring road of Milan), highway connections to the A1, and the toll gates of Opera, Melegnano, and Lodi (approximately 15 km away) and 25 minutes from Linate Airport. The project stands out for its strong commitment to sustainability, targeting LEED Platinum certification through energy-efficient design, reduced carbon footprint, and enhanced environmental quality, ensuring long-term value for investors and the community.

Mohamad Abouchalbak, CEO at SFO Capital Partners, commented: “This acquisition further reinforces our partnership with Edmond de Rothschild REIM and GARBE Industrial Real Estate and underscores our commitment to building a best-in-class portfolio that meets evolving tenant demand while delivering superior returns for our investors. It also represents another significant milestone in our pan-European Logistics Investment Program LIP I; as one of the last fully permitted sites in the Lombardy region, it is exceptionally well positioned to capitalize on the supply-demand imbalance.”

Pierre Jacquot, Co-CEO of Edmond de Rothschild REIM, stated: “We are delighted to grow our logistics exposure to the Milan market with this second acquisition in the same quarter on behalf of our Smart Estate 2 strategy. This off-market transaction was possible thanks to the strong local expertise of Garbe combined with a well-capitalized and agile partnership between Edmond de Rothschild REIM and SFO Capital Partners. The pipeline is promising to continue to grow this partnership in Italy and other markets in the near future.

Marco Grassidonio, Country Head of Garbe Industrial Real Estate Italy, said: “The renewal and consolidation of our Joint Venture with SFO Capital Partners and Edmond de Rothschild REIM, together with Prelios SGR’s Eterea Fund, is a confirmation of the mutual trust and solidity of the projects we are pursuing within the existing partnership. This new logistics development in Torrevecchia Pia allows us to give continuity to GARBE’s strategy in Italy with a cutting-edge project that integrates sustainability and innovation, key elements of our approach.”

This project marks the second acquisition under SFO LIP I, a curated logistics investment program targeting 10 pre-defined assets across France, Italy, and the Netherlands. Representing EUR 300 million in gross development costs, these assets are strategically positioned in key European logistics hubs facing structural supply-demand imbalances. These acquisitions are expected to be fully completed within 12 months with reinforcing the commitment to building a high-quality logistics portfolio aligned with e-commerce growth, nearshoring trends, and supply chain modernization.