Land under Takashimaya Times Square Building sells for 21 billion Yen

Takashimaya has acquired the remaining 60% of the land under the Times Square Building near Shinjuku Station for 21 billion Yen (approx. 185 million USD).

The property is located on the eastern side of Shinjuku Station in Shibuya ward. The main tenants of the building include the Takashimaya department store and Tokyu Hands.

Takashimaya made the acquisition to both reduce their land rent, which was approximately 1 billion Yen per year, and improve their real estate portfolio. The sale of the land occurred on September 29, 2017. Takashimaya had been acquiring the building and land in several stages. In 2014 they acquired 60% of the building for 105 billion Yen, putting their holdings at 40% of the land and 100% of the building at the time. Last month’s acquisition gives them 100% ownership of the building and land.

The 14-storey building was built in 1996 and has a total floor area of 174,000 sqm. It sits on a 19,281 sqm block of land adjoining Shinjuku Station.

Sources: The Nikkei Shimbun, October 3, 2017.