CapitaLand buys multifamily assets in Japan, strengthens leadership bench in Japan and China

CDL Aries acquires two prime plots in Upper Bukit Timah, Singapore The Myst for S$126.3 million, paving the way for a 24-storeys residential project with improved connectivity and green spaces for a pleasant living experience.

Capitaland Investment (CLI)and its flagship regional core-plus fund, CapitaLand Open End Real Estate Fund (COREF), recently announced a forward purchase agreement to acquire six multifamily assets in central Osaka, Japan, for $141.4 million. The off-market deal marks COREF’s foray into the multifamily sector and brings the group’s total investment in Japan to about $1.1 billion across 60 properties.

The portfolio comprises 428 premium one-bedroom apartments that are targeted at corporate tenants and middle-income couples and will be completed in phases from May 2023 to June 2024. It is situated close to the commercial districts of Umeda and Namba and is within walking distance of their respective subway stations.

In addition to the acquisition, CLI has also strengthened its leadership bench with two key appointments in Japan and China. Hideto Yamada has assumed the role of Managing Director for Japan from April 17, while Kara Wang has been named Chief Investment Officer for CLI China effective May 5.

Andrew Lim, group COO of CLI, commended Hideto Yamada’s industry experience, noting his 40 years of experience in Japan’s real estate sector, knowledge of dealmaking across global real estate markets, and extensive knowledge of Japan’s real estate sector.

Kara Wang will be instrumental in enhancing CLI’s position in China, a core market for CLI. Her principal priorities will be to lead direct investments for CLI China’s onshore and offshore fund products, develop CLI’s onshore capital markets capabilities, drive inorganic platform acquisitions, and serve as CLI’s country representative for Hong Kong.

The acquisition and appointments signify CLI’s investment ambition in Japan and China, both of which are important focus markets for the group. Tan Lai Seng, Managing Director for Japan, CLI, commented that the group’s vehicles will hold a total of 30 multifamily properties across eight cities in Japan, after the acquisition and completion of three additional multifamily properties by CLI’s lodging trust CapitaLand Ascott Trust in 2QFY2023 and FY2024.