Spazio Investment, the Italian, Aim-listed company has brought its spending for the year to €60m (£48.1m) with the purchase of an office building in Milan’s Sesto San Giovanni area for €27.5m (£22m).

The 141,008 sq ft office was bought from Italian developer Pasini Group at a yield of 8.3%, reflecting a yearly passing rent of about €2.3m (£1.84m). The office is part of the Pasini Light Industrial Complex which also includes 312,156 sq ft of industrial space. The Pasini group is in the middle of a redevelopment programme to transform the site into a mixed-use residential, office and retail complex.

The office which has just reached practical completion following a build period of 18 months, has been pre-let to Alstom Power Italia from 1 May. The office will be Alstom’s southern European headquarter. The letting is for 103,334 sq ft. The remainder of the building is still on the market.

John Duggan, chairman of Spazio Investment, said: ‘Completion of this latest acquisition, which we committed to at IPO, further cements our goal to invest up to €200m in acquisitions this year.’

‘So far in 2008 we have completed almost €60m of acquisitions and we remain confident that the Italian industrial market will continue to provide interesting opportunities for further transactions.’