Public property management in Italian municipalities Framework, current issues and viable solutions

Purpose – This article aims to present an overview of the main issues related to public real estate management in Italian local governments and to define a reliable approach for the employment of real estate properties during the time. Design/methodology/approach – The research defines a theoretical framework that takes under consideration the “key variables” that affect the strategic management of a real estate asset portfolio. The suggested approach may help public managers in the decision-making process, enhancing the performance of the organization and the accountability in favor of the stakeholders. Findings – The results demonstrate that there are still several omissions in the management of these assets and that strategies adopted have not been centered on a preliminary analysis of the financial, economic and social fallouts in the mid-long term, mainly answering to short-term political needs and budgetary constraints. Unlike experiences developed in other European countries, in Italy the main answer was the divestment of real estate assets, assumed as a “first best solution”. Practical implications – The article suggests a systemic and multidimensional approach for the management of a real estate portfolio and aims at developing a depth of knowledge in a field such as public property management, which can still be considered essentially unexplored by Italian literature. Originality/value – The paper emphasizes the strategic relevance of the subject for politicians, managers, technicians and researchers involved in the management of a real estate portfolio.