Hillhouse-backed Samty sells 49 billion yen worth of Japan multi-family assets to sovereign wealth funds
The two portfolios comprise 30 newly built properties, most of which are located in Tokyo, Osaka and other major cities
[SINGAPORE] Japanese developer Samty Holdings has sold two portfolios of multi-family assets worth 49 billion yen (S$425 million) to international sovereign wealth funds.
While the company did not disclose the buyers in the deal, Singapore’s sovereign wealth fund GIC is likely to be one of them, according to real estate intelligence firm Mingtiandi.
The divestment follows Samty’s privatisation led by Asian private-equity firm Hillhouse Investment, founded by Zhang Lei.
On Tuesday (Sep 2), Samty said that it will remain the lead asset manager for both investment pools, which comprise 30 newly built multi-family properties developed and owned by the company.
Some 70 per cent of the assets are located in established neighbourhoods in Tokyo, Osaka and other major cities.
They are multiple residential dwelling units within the same building or complex.
A NEWSLETTER FOR YOU
Tuesday, 12 pm
Property Insights
Get an exclusive analysis of real estate and property news in Singapore and beyond.
The properties are also close to public transportation, positioning them to capture tenant demand and drive rent growth.
The first investment pool, consisting of eight assets, will be managed solely by Samty, while the second pool of 22 assets will be co-managed by Samty and Alyssa Partners, a privately owned real estate investment management firm in Japan.
In 2024, Hillhouse and its real estate investment arm, Rava Partners, launched a buyout offer for Samty, then listed on the Tokyo Stock Exchange. The buyout, which valued Samty at 169 billion yen, was completed in January this year.
SEE ALSO
Daiwa Securities Group retained a 37 per cent stake in the company, with the remainder being held by Hillhouse group.
Joe Gagnon, co-head of Rava Partners and partner at Hillhouse, highlighted strong investor demand for Japanese multi-family assets. He noted that with this latest asset sale, alongside the recent close of Samty’s hotel-specific fund, the company has raised more than 100 billion yen.
In July, the company closed its first hotel-focused private real estate fund, with equity totalling 17 billion yen. The fund’s asset portfolio consists of 10 hotels, comprising 1,530 rooms located in Tokyo and western Japan. The hotels have occupancy rates of 85 per cent or more, with stable cash flow and strong profitability.
A consortium led by EZA Hill, which is backed by Rava Partners, is also said to have agreed to acquire five industrial and logistics properties in Singapore from CapitaLand Ascendas Real Estate Investment Trust for S$329 million.
Copyright SPH Media. All rights reserved.
