Precise and trustworthy valuations are fundamental for achieving success in each real estate investment.
The Valuation and Advisory Services department (CBRE Valuation S.p.A), is an independent company within the CBRE group, providing its clients with valuation and strategic advisory services for a wide range of real estate properties. We provide valuation of all types of commercial real estate: offices, retail and industrial property but also housing complexes, land and high end luxury residential estate.
The team boasts particular expertise in the recurring valuation of real estate portfolios for institutional clients and property companies (over 60 real estate funds and portfolios of listed and unlisted companies), as well as in the performance of advisory services. The valuations performed by CBRE are recognised - and generally accepted - by the leading ratings agencies, by CONSOB (Commissione Nazionale per le Società e la Borsa - Italian Securities and Exchange Commission) and by the Bank of Italy.
With the services offered by the Valuations Department of CBRE Italy, we are equipped for carrying out high quality valuations that help our clients to take the right real estate decisions. We hold a position of leadership in the Italian market, together with extensive resources and a deep knowledge of the market.
We understand the business needs of our clients. A large number of commercial and investment banks, listed and non-listed funds, institutional investors, multinationals, private/public client and governmental agencies have used our services to satisfy their business needs. CBRE knows that many of its clients need fast and safe information in order to take strategic decisions. That is why we employ our knowledge and experience in order to apply agile and effective procedures in the gathering and analysis of data. This is a process that enables us to add value and collaborate as an integral part of our clients’ business teams. Our advanced technology, together with our resources for obtaining market information, helps our clients to take more competitive decisions. Our information comes from reliable and complex sources and is backed up by the most complete database of commercial and residential properties.
Our surveyors are familiar with fields such as economics, law and architecture. Many of them are certified by the Royal Institute of Chartered Surveyors. With CBRE, you benefit from our local knowledge and our international approach.
Valuation analysis. According to the client’s needs, we carry out complete or summarised valuations
Valuation for portfolios, loan security and initial public offerings, for M&A and securitisations
Regular valuations for Real Estate Funds
Valuation for large multi-phase developments
Valuation for NPL and financial lease Real Estate properties
Market analysis: market studies are carried out for the office, industrial, residential, hotel and leisure sectors, giving a general idea of demand and supply
In the fourth quarter of 2016, take-up totalled 86,795 sq m, posting growth of 63% on Q3 but sharply lower compared to last year.
2016 closed with an absorption volume of 304,200 sq m, which was lower than the record high of 2015 but was still higher than the average for the last 10 years (2007-2016).
The year was characterised by various transactions >10,000 sq m that involved important international corporations. Milan confirmed that it is an interesting destination, with a market that is always buoyant and in line with other European cities.
Despite the forecasts of the impact of the referendum on the real estate market, investment activity in the last part of the year was high with over 900 million Euro of capital invested just in the Milanese office sector.
Prime net yields and good secondary net yields edged down to 3.75% and 5.50% respectively.
Absorption for the whole of the year 2016 totalled approximately 150,300 sq m, confirming the positive trend compared to the previous years (+43% compared to 2015 and +73% compared to 2014).
Prime rents were stable in the CBD and were up in the EUR area at 400 and 330 Euro/sq m/per year respectively.
During the quarter there was a large lease deal in the EUR Laurentina area of around 10,000 sq m which involved an Italian company in the energy sector; this deal, together with two other lease deals reported in the EUR Centre area, accounted for approximately 45% of the total absorption in the quarter.
The pipeline of developments was lower, with 92,000 sq m under construction/refurbishment with delivery expected between 2017 and 2018; two projects of approximately 52,000 sq m were completed in the quarter. These were the new HQ of BNP Paribas in Tiburtina and Block C of Via dell’Arte 25.
Investments were higher in Q4, totalling approximately 200 million Euro; prime yields were stable at 4.00% net.
Absorption in the quarter was sharply higher than in the previous quarter (+32.5%); the volume absorbed in the whole of 2016 reached 1.4 million sq m (+81% compared to 2015), an all-time record for the logistics sector in Italy.
The most dynamic region was Piedmont with take-up of 209,000 sq m; Lombardy remained a step behind with some 78,000 sq m of leased spaces.
28.7% of the absorption in the quarter was driven by E-commerce operators, who are becoming more and more aggressive in the market.
The volume of investment in the logistics sector was also considerably higher with around 400 million Euro in the fourth quarter; there are still a high number of deals in the pipeline.
Speculative developments are still limited but some developers expect a timid recovery in 2017.
Almost 1.8 billion Euro were invested in Q1 2016, a decline of 6.7% on the same quarter of the previous year.
Quarterly volume confirms 36% more than the quarterly average for the past four years.
At approximately 1.3 bn Euro, foreign capital is still the major driver of Italian CRE investment volume in Q1 16.
European investors lead the quarterly foreign capital (51%), with German on the top of the list.
The office sector, with 46% of total quarterly volume, is still the investors’ preferred asset class while retail follows whit 32%, thus improving its market share compared to previous quarters; the mixed use properties sector (mainly non-core investments to be re-positioned) fell at 6% .
The beginning of 2016 has been marked by an increased cautiousness among investors compared to the end of 2015 but the interest in the Italian real estate is confirmed sound.