Tokyo property investments surge on rising rents

[TOKYO] Investment in Tokyo properties is surging on prospects that rents will rise, boosting returns, even after a 20 per cent gain in prices since Japanese Prime Minister Shinzo Abe took office almost two years ago.

"There is a sense of value here that you don't find in other major office markets," said Jon Tanaka, Tokyo-based managing director of Angelo Gordon & Co, an alternative asset manager with about US$27 billion in assets.

"Japanese and offshore core buyers have capital available and they are very eager to find investment opportunities in Tokyo," he added.