Tokyo
FORTRESS Investment Group LLC is betting that one of the real estate industry's greatest contrarian wagers has more room to run.
The manager of US$70.5 billion, which piled into Japanese property after a tsunami and nuclear meltdown battered valuations in 2011, has seen its investments surge after Prime Minister Shinzo Abe's economic stimulus revitalised the industry. Invincible Investment Corp, a hotel-focused real estate investment trust (Reit) managed by Fortress, has returned eight-fold in the past five years, the biggest gain among Reits worldwide. Two of the firm's Japan-focused private equity funds have climbed near the top of their peer rankings.
Now, as slowing Asian growth and a...