TH Real Estate acquires retail and office property from Standard Life Investments in Japan
TH Real Estate has acquired the Ginza 1 Chome Building, a 4,539 sq m (c.49,000 sq ft) retail and office property from the Standard Life Investments Global Real Estate Fund for c.US$82m, on behalf of a client.
The modern, 13-storey building, is located in the heart of Tokyo’s CBD in Ginza, Chuo Ward with superior access to 5 train stations all within 8 minutes walking distance from the Property served by four subways and one railway. The property is comprised of nine floors of retail and four floors of office with basement parking. The property is multi-let to ten diversified tenants, anchored by a Kimono shop, signed for a fixed long dated lease, representing its flagship Ginza store.
The investment has been led by Shu Watanabe, Director of Capital Transactions for Asia, who joined TH Real Estate in June this year.
Shu Watanabe, Director of Capital Transactions, Asia, TH Real Estate, commented: ‘The acquisition fits our strategy of owning well-located, prime properties that cater to today’s occupier needs. The Property is strategically located on the corner site fronting Showa-dori, a major arterial road in Ginza, providing high traffic and visibility for retail tenants while its close proximity to Nihonbashi CBD on the north and Shiodome CBD on the south draws strong demand for office tenants, underpinning our expectations for stable cash flow. We also believe that Tokyo’s demographic fundamentals make it a defensive long term investment, supported by a highly developed social infrastructure and mature economy.’
Chris Reilly, Managing Director, Asia Pacific, TH Real Estate added: ‘We are excited to complete our debut investment into Japan, a region that we believe holds further strong investment potential. As a business, we are committed to growing our business across the Asia-Pacific region. This latest investment complements our existing Asia-Pacific portfolio and aligns with our strategy of investing across the world’s most attractive real estate markets, identifying tomorrow’s ‘winning’ cities.’
Source: TH Real Estate