Keppel REIT acquires S$85.7m office property in Japan

It plans to use the acquisition to pave the way for the firm’s entrance into Japan’s market.

The manager of Keppel REIT, Keppel REIT Management Limited, has acquired a 98.47% interest in a freehold boutique office building in Tokyo for  JP¥8.97b ($85.7m).

The property is located in the Ginza district in the Chuo ward, one of Tokyo’s core three wards and home to major Japanese corporations, the Bank of Japan and the Tokyo Stock Exchange. Completed in August 2008, the Property comprises eight storeys of office space and one ground floor retail unit with a total gross floor area of 1,542.3 tsubo / 5,098.6 square metre sqm and a net lettable area of 1,036.7 tsubo / 3,427.1 sqm.

Chief executive of Keppel REIT Management Limited, Koh Wee Lih said the acquisition will strengthen the Reit’s geographical and income diversification and provides greater stability.

“In addition, the well-located freehold asset in Tokyo’s prime Ginza district will enhance the visibility of Keppel Reit in the Japanese market and pave the way for the Reit’s future expansion in the well-established and scalable investment-grade office market in Japan,” he said.