Mapletree Investments has sold two properties in Tokyo to its north Asia real estate investment trust for S$482.5m (€319.4m).

Under the agreement, Mapletree North Asia Commercial Trust (MNACT) will acquire a 98.47% interest in the two multi-tenanted office properties located in Greater Tokyo.

Mapletree Investments Japan Kabushiki Kaisha, another Mapletree subsidiary, will hold the remaining 1.53%.

Cindy Chow, CEO of Mapletree North Asia Commercial Management, said: “A key focus for the manager is to continue to accelerate the income diversification of MNACT through acquisitions.”

Chow said the freehold buildings would provide a relatively higher yield spread against the local cost of funds compared to the Greater China market.

The proposed acquisition of the two offices would also reduce the income and asset concentration of Festival Walk, she said.

Festival Walk is a retail mall in Hong Kong, which has been closed since mid-November after the building suffered extensive damage from ongoing protests in the city.

Festival Walk is the trust’s single largest asset, accounting for 62% of its portfolio weighting, ahead of China with 27% and Japan 11%.

The trust is working towards either a partial or full opening of the mall by March next year.

Its manager said major recovery and repair work would have to be done on multiple levels of the mall.