Hines acquires premium office and logistics buildings in Tokyo and Osaka

Global real estate investment manager Hines has announced the acquisition of a premium office building in Tokyo and a logistics property in Greater Osaka.

The office, named Zenith Minami Shinjuku, is a newly-built 14-storey building in Yoyogi, a neighbourhood in Tokyo. The office was acquired off-market by the Hines team in Japan in December last year.

The office joins a portfolio of 32 high-performing assets that Hines has secured in Japan, as of last year. The portfolio cuts across residential, industrial and logistics, and office sectors, and is valued at around US$1.7 billion ($2.3 billion). They cover a total of nearly 5.38 million sq ft in six Japanese cities: Tokyo, Osaka, Kyoto, Yokohama, Nagoya and Fukuoka.

In March, the team secured the acquisition of Osaka Minoo Logistics, an industrial property occupying approximately a total land area of 645,835 sq ft. The property is currently fully leased and is fully powered by renewable energy. It is located about 30 minutes away from central Osaka.

The acquisition of these high-potential assets “at the right time” is part of Hines’ growth strategy for Japan, says Jon Tanaka, country head of Japan in Hines. In addition to securing new assets, the company has created value through active asset management, including leasing, refurbishment, repositioning and redevelopment, he adds.

Tanaka notes that Japan remains the most liquid of the major real estate markets in the world with the lowest interest rates. “We also continue to see demand rise as tenants gravitate towards well-located, green premium buildings, reflecting employers’ growing interest in sustainability as well as talent recruiting.” — Compiled by Nicholas Lam and Nur Hikmah Md

Ali