CapitaLand Ascott Trust (CLAS) has acquired three freehold rental housing properties in Japan for a total of JPY4bn (€23m).
CLAS funded the acquisition of the two assets in Osaka and one in Kyoto with proceeds from its October 2024 divestment of Citadines Karasuma-Gojo Kyoto and JPY-denominated debt.
Serena Teo, CEO of CapitaLand Ascott Trust Management and CapitaLand Ascott Business Trust Management, the managers of CLAS, said the three rental housing properties, built about five years ago, are located in prime areas of key gateway cities with expanding economic opportunities.
“With average lease terms of about two years and an average occupancy of about 97%, the acquisition strengthens our stable income stream and portfolio resilience.”
Post-acquisition, Japan accounts for 17.7% of CLAS’s total real estate portfolio value. CLAS will have 33 assets in Japan, comprising two serviced residences, four hotels, 26 rental housing properties and a student accommodation property.
“We remain focused on our three-pronged strategy: unlocking value through divestments, investing in yield-accretive opportunities, and uplifting portfolio quality through well-timed asset enhancement initiatives to deliver steady long-term returns to our stapled securityholders,” added Teo.
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