(TOKYO) – Hines, the global real estate investment, development and property manager, today announced that Hines Asia Property Partners (“HAPP” or the “Fund”), the firm’s flagship commingled Asia Pacific core plus fund, has acquired 11 multifamily properties in Japan. Totaling over 14,000 square meters and more than 400 units in Tokyo, Nagoya and Fukuoka, the first multi-family investment for HAPP in Asia Pacific marks the beginning of a series of acquisitions by the Fund to amass a portfolio of rental multi-family assets in Japan.
“We have seen an increased demand for multifamily properties in Asia Pacific, so we have identified strategic opportunities like these to deliver high quality products to the rental market,” said Chiang Ling Ng, chief investment officer, Asia at Hines. “These acquisitions in Japan should help increase Hines’ growing portfolio in the region, while also expanding our investors’ exposure to the vibrant and increasingly popular multifamily sector across Asia Pacific.”
The acquisitions are the start of HAPP’s living aggregation strategy for Japan, which is targeting to scale up to USD 1 billion of asset value in three to five years. Targeting urban dwellers in major Japanese cities, the properties will be managed under the firm’s new Cavana brand. The projects intend to focus on sustainability initiatives with plans to implement tenant engagement schemes to encourage them to conserve water, recycle materials, and reduce their carbon footprint.
“The timing is excellent for investing in the Japan multifamily market as it is the only country in Asia Pacific with a substantial and established ‘for rent’ residential property sector, which is also attractive due to its stable yield and wide availability of investable assets,” said Jon Tanaka, senior managing director, Japan at Hines. “By sourcing off market and being highly selective, we have been able to secure properties which we anticipate will outperform the market and produce positive income returns for the firm.”
Hines is a global real estate investment, development and property manager. The firm was founded by Gerald D. Hines in 1957 and now operates in 28 countries. We manage a $92.3B¹ portfolio of high-performing assets across residential, logistics, retail, office, and mixed-use strategies. Our local teams serve 634 properties totaling 225 million square feet globally. We are committed to a net zero carbon target by 2040 without buying offsets. To learn more about Hines, visit www.hines.com and follow @Hines on social media.
¹Includes both the global Hines organization as well as RIA AUM as of June 30, 2022.