VENICE, Italy—Hines Italia SGR has taken over the management of the “Real Venice I fund” from the previous manager, Est Capital SGR, represented by Angelo Pappadà, the special commissioner appointed by the Bank of Italy.

Real Venice I owns a number of properties on the Venice Lido, including the hotels Excelsior and Des Bains. These two cultural and historical landmarks will undergo renovation, starting with a series of works to ensure the Hotel Des Bains is safe and secure.

"As part of the fiduciary responsibility to unit holders and banks financing the project we take on today, we will remedy the mistakes of the previous management and revive architectural and cultural landmarks such as the exclusive Excelsior and Des Bains hotels, which deserve to be once again internationally acknowledged beacons of Italian excellence and Venice's pride and joy,"said Manfredi Catella, Hines Italia SGR shareholder and managing director.

The renovation plan prepared by Hines Italia SGR could extend to other unused buildings on the Venice Lido not owned by Real Venice I as part of a strategic pilot program for the tourism industry in partnership with the local community, the municipality of Venice, and national institutions. Hines Italia SGR has already set up a working group with Cassa Depositi e Prestiti, Italy's state holding company, and Fondo Strategico Italiano, a state-backed private equity fund, and will soon start discussions with other potential partners.

This represents the culmination of the process that started with the repeated requests of Real Venice I's meeting and the approval of the banks participating in the fund for Hines Italia SGR to take over.

Hines Italia SGR already selected the advisors to the renovation program through a tender process.

Concerning the land redevelopment project, the urban planning and land development team will initially consist of the British architect Christopher Choa of Aecom, Vittorio Gregotti, and Claudio Rebeschini.

Hines Italia SGR will soon start selecting the equity partners from among those who already expressed their interest to recapitalize the fund in accordance with the guidelines of the development project. Meanwhile, it will finalize the first rights issue, which has already been fully subscribed by leading institutional investors holding units in Real Venice I, including Fondazione Cassa di Risparmio di Padova e Rovigo. Together with the other banking foundations participating in the fund, it contributed to the ongoing restructuring and revival of Real Venice I.

Hines Italia SGR, an independent leader in asset management for real estate investment fund on behalf of Italian and international institutional investors, was authorized by the Bank of Italy in 2007 and currently manages 12 real estate investment funds, with more than 3 billion euros currently invested.