Three-bedroom townhouse in the heart of Milan
$1.83 million (1.6 million euros)
This three-bedroom, loft-style townhouse is located in Porta Venezia, a multicultural neighborhood known for its Art Nouveau and neoclassical architecture, close to central Milan, the Italian financial and fashion centre.
The three-story, 3,552-square-foot home was converted in the 1990s from a backyard workshop to an early 1900s apartment building, with 15-foot ceilings and large panes of glass sandwiched between wooden floor beams. Upstairs and ground floor.
“The idea is to give the loft a floating atmosphere and lighting,” said Diletta Giorgolo, head of residential real estate at Italy Sotheby’s International Realty, which has the listing. The heated pool and spa in the basement can be seen through the glass of the ground floor.
“It’s not the typical family home,” Ms Giorgolo added. “It’s more for artists, architects, or people in fashion.”
Entry is through the main building of 14 apartments. The living area on the ground floor has walls that curve to either side of a central window that is polished from floor to ceiling. At the opposite end of the room is a separate sitting area with fireplace under the second floor loft, with translucent ceilings. The sale includes a sofa, fireplace and a sculpture by Polish artist Igor Mitorai.
The kitchen has wood cabinets and a refrigerator covered with matching cabinets, and the curved worktop is glass embedded in cement. The powder room and laundry/utility room are located next to the kitchen.
A wooden staircase with open tops and glass balustrade leads to the loft and master bedroom suite, which has a mirrored wall behind the bed and a wardrobe. Paneled floors make the living room visible below. A semicircular balcony with curved metal railing and horizontal balustrade overlooks the living room.
The other two bedrooms, both with en suite bathrooms, are accessed through the master bedroom. Each room has a wardrobe and a bathroom with a shower. The third bedroom is currently set up as a study.
The basement, down a wooden staircase, has a teak floor and a vaulted brick ceiling. Beyond the pool and spa there is a transparent-roof sauna, shower and relaxation area.
The apartment is on Via San Gregorio, a street lined with ethnic restaurants, small shops and a boho vibe. Nearby is Corso Buenos Aires, whose more than 350 clothing stores make it the longest shopping street in Italy. Porta Venezia, the historic city gate from which the neighborhood takes its name, is just a few blocks away, as are Milan Central Station and the Giardini Pubblici Indro Montanelli, a large city park that houses the Natural History Museum. Milan Malpensa Airport is approximately 45 minutes’ drive away.
Milan, the capital of Italy’s northern Lombardy region, is among the country’s most expensive housing markets. Residential landscapes range from venerable mansions with elegant facades to villas and townhouses with hidden gardens. The apartments are located in Bohemian enclaves within the city’s medieval walls. But new construction is changing the face of the city, even if the pandemic slows its market.
“The new developments are taking the city to another stage and are greatly appreciated by international buyers who can find international schools, expatriate communities and facility buildings,” said Ms. Gerogolo.
In the converted Porta Nuova, a former industrial estate, trees and plants cover the terraces of the Bosco Verticale, a solar-powered high-rise double tower. Nearby, in the historic city’s old fairgrounds, the mixed-use CityLife redevelopment includes a winding apartment complex of seven buildings from five to 13 floors, and a 44-story twisty tower designed by Zaha Hadid, among other attractions.
Ariana Giovanni, director of marketing at Lionard Luxury Real Estate, said the Milan market “has been growing steadily, especially since 2016”. During the pandemic, she said, sales have continued with video ownership tours and dealer-signed contracts, despite “reasonably reduced inventory.”
“It was very difficult to find a penthouse with good balconies,” she said. “People now mostly want properties with some outdoor space.” This includes villas outside the city limits that are within walking distance of the city center, as well as “self-contained country estates”.
Ms Giovanni said prices for apartments and two-bedroom villas range from 1.3 million to 8 million euros ($1.49 million to $9.1 million), depending on the condition of the unit, at the top of the market. Building, location and presence of outdoor spaces.
Ms Girogolo said that in the first quarter of 2021, about 6,000 sales were registered in Milan, “evidence of the recovery of the Italian real estate market”. “It was higher than in pre-Covid times.” According to Sotheby’s internal data, the average property price sold so far this year has been around 2.5 million euros ($2.86 million), with 11.5 million euros ($13.2 million) sold, in the high-fashion Quadrilatero district. She said.
In Centro, the city’s historic center and most expensive area, a buyer can expect to pay nearly €9,400 per square meter ($1,000 per square foot) in September 2021, according to data from marketplace and consumer data portal Statista.com.
Antonio Zagaroli, managing director of Knight Frank Italia, noted that real estate prices in Milan rose more than 10 percent from the second quarter of 2019 to the second quarter of 2020. “However, in 2021 price growth appears to be slowing, as the The annual growth recorded in the first half of the year is 2.6 percent,” citing data from the Knight Frank Global Residential Cities Index.
Mr. Zgaroli predicts that the market will “be optimistic for the next three to four years”, likely buoyed by the 2026 Winter Olympics scheduled to be held in Milan. Plans call for the old railroad plaza Porta Romana to be recreated as an eco-friendly mixed-use area for the Games, with athletes’ housing turned into affordable student housing afterwards, while Olympic Village will become a self-contained neighborhood.
The annual flat tax of €100,000 ($14,459), imposed in 2016, helps attract high-income foreigners with annual income over €250,000 ($286,000), particularly from Europe and Asia, who declare Italy to be Their primary residence, Mr. Zagaroli said.
Foreign retirees are looking forward to the tax bait, introduced in July 2020, which guarantees a 7 percent income tax for 10 years on income generated abroad, including pensions, rental income, annuities and other earnings. “We sold more across Italy because of the flat tax,” Ms Girogolo said, and she expects “more” sales next year, provided there is no new alternative to the Covid virus.
Who buys in Milan
Ms Girogolo said in 2020, most of the buyers were Italians “due to travel restrictions caused by Covid-19”. That changed with the lifting of the travel ban.
“From the Far West to the Far East, we’ve seen clients come from the most unexpected regions in the world these days,” said Ms. Giovanni, including Australia and Taiwan.
Many people commute from Paris and London because “the quality of life is very high in Milan,” said Alessandro Ripponi, CEO of Knight Frank Italia, with seaside, mountains and lakes within two hours.
There are no restrictions on foreign ownership in Italy. Closing is carried out by a neutral notary, chosen by the buyer and paid for. Ms Giorgolo said a lawyer was not necessary if the buyers had made the purchase as a private person and had not moved to Italy.
Stamp fees, broker fees, and notary fees total between 7 and 9 percent on top of the purchase price.
Ms Giovanni said that new construction or recently renovated property from a developer is subject to VAT at either 10 per cent or 22 per cent, which brings closing costs to 16 per cent to 29 per cent above the purchase price.
Ms Giovanni said obtaining funding can be difficult. “The fact that their main source of income is from abroad presents a risk to our banks due to the current regulations,” she said.
Languages and currencies
Italian ; Euro (1 Euro = $1.15)
Taxes and Fees
Monthly maintenance fee of 300 euros ($341).
Ms Girogolo said property taxes range from 0.4 percent to 0.7 percent of the money value, depending on the location and type of property.
If the cottage is purchased as a first residence, the buyer will pay a stamp duty of 6,000 euros ($6,890). If purchased as a second home, the stamp duty or purchase tax is about 31,000 euros ($35,600), Ms. Gerogolo said.
Diletta Girogolo, Italy Sotheby’s International Realty, 011-39-333-677-6473; sothebysrealty.com
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