Savills Investment Management (Savills IM), the international real estate investment manager, has completed its initial investments in the office and residential sectors in Japan, as well as its acquisition of a local neighbourhood shopping centre in Australia for its flagship pan-Asian fund, in a series of off-market transactions.
In Japan, Savills IM has acquired a high-quality office in Greater Tokyo. The multi-tenant building totals approximately 5,500 sqm of rentable floorspace and is located withing walking distance of Yokohama Station, a terminal station with over 2 million daily passengers and 11 train/metro lines.
Also in Japan, Savills IM successfully aggregated a 13-asset portfolio, comprising seven multifamily buildings and six master-leased dormitories. The portfolio forms two investments that were completed with separate vendors. The assets offer a total of 576 rentable units and a combined lettable area of approximately 25,000 sqm. They are located across Greater Tokyo and central Fukuoka, in popular residential areas with convenient access to the central business district.
Savills IM’s Japan investment team identified these off-market opportunities through their relationship with the sellers. The purchases represent the first investments in the Japan office and residential sectors for the pan-Asian fund. The parties have agreed not to disclose the purchase prices.
In a further transaction, Savills IM has acquired 75% of Forest Lakes Shopping Centre in Perth, Australia together with Greenpool Capital (25%), a local Perth retail operator. With a focus on daily customer needs, the centre has an occupancy rate of 97% and a remaining average lease term of 8 years. The purchase price amounts to c. €54 million.
The shopping centre comprises 42 shops of just under 14,580 sqm, and boasts three supermarkets: Aldi, Coles and Woolworths. It is located approximately 15km south-east of the central business district in Perth, the capital of the state of Western Australia, on a 6.6-hectare strategic land holding, with additional sundry land facilitating the potential for various value-add initiatives.