Kering in Final Talks to Sell Milan Luxury Property to Qatari Royal Family
French luxury company Kering is close to reaching a deal to sell most of its stake in a company that owns a top property on Via Montenapoleone in Milan, one of the most famous shopping streets in the world. This news was reported by Italian newspaper Corriere della Sera.
About the property
The building, from the 18th century, was bought by Kering in April 2024 for $1.5 billion (€1.3 billion) from Blackstone. It hosts luxury stores like Yves Saint Laurent, Prada, Cova, and Le Coultre.
According to the report, Kering plans to sell the majority of the company that owns the building. The value of the deal is said to be close to what Kering paid for the property.
The buyer is reportedly linked to Hamad bin Jassim bin Jaber Al-Thani, a well-known Qatari investor and former prime minister.
Why is Kering selling?
Kering is selling this property to reduce its debt, which rose to $12.1 billion in 2024 after several expensive purchases, including this Milan property.
The luxury market has slowed down, and Kering’s main brand, Gucci, saw a 26% drop in sales in the first half of 2025. As a result, Kering’s overall revenue fell 16% to $8.8 billion, and its profit was cut in half to $547.2 million.
Kering has already raised €800 million from selling other properties in cities like Paris, Tokyo, and New York. The company’s CFO, Jean-Marc Duplaix, said they expect more sales by early 2026.
What’s next?
This sale comes as Kering prepares for new leadership. Luca de Meo, the former CEO of Renault, will become the new CEO in mid-September. He will replace Francois-Henri Pinault, who will stay on as chairman.
De Meo will focus on turning Gucci around and making decisions about future deals. One possible move is for Kering to buy the remaining 70% of Valentino from Qatar’s Mayhoola in 2026. Kering already owns 30%.
Qatar has invested heavily in Italian real estate, spending over $5.8 billion through its wealth funds. They already own Milan’s Unicredit Tower. The Via Montenapoleone building is in high demand, as rents there have jumped 30% in the past two years, making it a very attractive investment.
Published: 4th August 2025
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