Rho Center

Location
Rho (Milan)
Italy

Sector
Retail

Size
14,250 sqm

Under Management
2022 - 2024

Stabilising Income and Repositioning Through Leasing, F&B Renewal and Value-Add Initiatives

Leucosia oversaw the asset-management programme for Rho Center, executing a repositioning strategy focused on income stabilisation, operational improvement and long-term value creation. From the outset, the team implemented a comprehensive tenancy plan - completing lease-ups and re-gears across the GLA, resolving distressed tenants through legal actions, and replacing underperforming operators with stronger franchisees - while freeing and re-letting key units. These actions drove a +11% increase in gross rent, a +17% uplift in NOI, and a +7% improvement in WALB, materially strengthening cashflow resilience. In parallel, the F&B offer was fully reworked by stabilising anchor tenants, re-letting vacant units to new operators, managing repayment plans where required, and planning the enhancement of the food court through improved access, external dehor areas and a potential 15% GLA extension - an initiative that, once implemented, would increase investor NOI by +77%. The team also addressed strategic food-anchor risk by preparing mitigation scenarios, ranging from identifying replacement operators to evaluating a unit resize to introduce new merchandising. Operationally, Leucosia delivered significant OpEx optimisation through a service-charge rationalisation plan, reduction of SC leakage and targeted initiatives that unlocked additional NOI, while simultaneously assessing ownership-consolidation opportunities to enable coordinated leasing, governance efficiencies and future yield compression. As a result, Rho Center emerged as a more stable, better-managed and operationally efficient retail destination, with strengthened income visibility and a clear pipeline of further value-creation opportunities.