The manager of Lendlease Global Commercial REIT (LREIT) says Lendlease Italy SGR S.p.A. (Lendlease SGR) has replaced Revalo S.p.A. as property manager of Sky Complex in Milan Italy.

Lendlease SGR has, on Feb 22, entered into a property management agreement with Prelios Integra S.p.A, a third party professional property manager, to take over management of the property.

Prelios Integra is the property management company of Prelios Group, acquired in 2018 by Davidson Kempner Management Ltd, a US Hedge Fund with more of US$30 billion ($39.7 billion) of assets under management (AUM).

It has 85 employees in Italy with offices in Rome and Milan. It manages more than 8 million of square metres of space (out of which approximately 1.6 million square metres is office space) and 3,400 properties.

SEE:Lendlease Global Commercial REIT is on its journey towards recovery, slowly but surely

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Under the contract, Prelios Integra will be responsible for services including lease management, property administration and accounting management, budgeting and reporting.

The new manager is entitled to a set-up fee of 2,500 euros ($4,013.44) and a property management fee of 0.28% per annum of the annual collected rent of the Milan property, subject to a minimum sum of 20,000 euros.

The contract will last for three years from Feb 22, and may be terminated by either party with three months’ notice after a year.

The contract will be terminated automatically should the Milan property be sold to a third party.

Units in LREIT closed 0.5 cent lower or 0.6% down at 77.5 cents on Feb 23.