Invel Real Estate Makes €18M Entry Into Italian PBSA Sector With Stonehill International Group Partnership

MILAN, June 15, 2026 — Invel Real Estate has committed an initial €18 million to support the development of two purpose-built student accommodation (PBSA) assets by Stonehill International Group in Milan and Padua, the firms announced. The transaction marks Invel Real Estate's entry into the Italian PBSA sector and represents the first step of a broader partnership between the two firms.

Development Sites and Scale

The investment will fund the development of approximately 1,100 beds across two sites: Via Lambruschini in Milan's Bovisa district and Via Valeri in Padua. Both locations are situated adjacent to major university campuses, according to the announcement. Upon completion, the assets are expected to target LEED Gold certification.

Stonehill International Group has been active in Italy since 2017 and has completed approximately 2,100 beds across Europe to date, the firms said.

Market Context: Italy's Student Housing Supply Gap

The announcement cited structural undersupply as a key driver of the investment thesis. Italy hosts approximately 2 million university students, yet purpose-built student accommodation penetration remains below 5% nationally — significantly below the 20–30% levels observed in more mature European markets, according to the firms. In Milan and Padua specifically, demand for PBSA beds is estimated to exceed existing supply by three to four times, underpinned by enrollment growth and an increasing number of international students.

Executive Commentary

Gabriele Magotti, Chief Investment Officer of Invel Real Estate, said the transaction reflects the firm's focus on the living sector. "The imbalance between supply and demand for modern, purpose-built student accommodation remains a defining theme in European real estate, and Italy, with its vast student population, rising international enrolment and chronically undersupplied market, stands out as particularly attractive," Magotti said. "We are pleased to partner with Stonehill, a developer with deep sector expertise and a strong delivery track record in Italy, to support the development of these two assets in Milan and Padua."

Matthew Cartisser, Chief Executive Officer of Stonehill International Group, said the firm was satisfied to have secured Invel's financial backing. "The Milan and Padua projects will be amongst the best located student residences in two of Italy's leading university cities," Cartisser said. "We have been very pleased to work with Invel so far and in particular their Milan based team, which brings with it impressive depth and experience in the Italian real estate market."

Strategic Positioning

For Invel Real Estate, the investment provides an initial foothold in two development sites and reinforces the firm's stated focus on alternative living sectors in Italian gateway cities, according to the announcement. The firms described the €18 million commitment as the first step of their partnership; the announcement noted that both projects will continue to progress through their development phases, though no further details on timeline or additional capital commitments were disclosed.