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Matrix Factorization (MF) is one of the most successful Collaborative Filtering (CF) techniques used in recommender systems due to its effectiveness and ability to deal with very large user-item rating matrix. However, when the rating matrix sparseness increases its performance deteriorates. Expanding MF to include side-information of users and items has been shown by many researchers both to improve general recommendation performance and to help alleviate the data-sparsity and cold-start issues in CF. In regard to item feature side-information, most schemes incorporate this information through a two stage process: intermediate results (e.g., on item similarity) are first computed based on item attributes; these are then combined with MF. In this paper, focussing on item side-information, we propose a model that directly incorporates item features into the MF framework in a single step process. The model, which …