Less than a quarter of the lots in a second Italian state property auction reached their reserve price last month. Only 23 of the 168 lots on offer were sold, raising ¬132m.
A spokesman for Romeo Gestione, one of the companies that forms part of SCIP, the vehicle selling the state property, said some buildings had been over-valued and would be offered in bundles at a 25% discount in an auction of the remaining 145 lots in July.
Sold lots in the second auction raised 8% more than their reserve price, and together with those sold in March, raised ¬505m. The overall increase on the reserve price was 17%.
The SCIP team, called the Consorzio G6 Advisor, includes Pirelli & Co Real Estate, Romeo Gestioni, Andersen, Intesa BCI, Romeo Immobiliare and Knight Frank. SCIP is expected to raise ¬7.5bn in 2002, ¬7.2bn in 2003 and ¬1.5bn in 2004.
