Tsukiji Fish Market redevelopment proposal announced last week
The proposed redevelopment plan for the old Tsukiji Fish Market site in Tokyo was announced last week by the Tokyo Metropolitan Government. Mitsui Fudosan has been selected to lead a group of 11 project participants.Read more
Shibuya office building sells for 25 billion Yen
JR East Building Co., the real estate division of East Japan Railway, acquired the Shibuya Prime Plaza office building in February. The sale price was not disclosed, but assumed by the Nikkei Real Estate Market Report to exceed 25 billion Yen (approx. US$165 million).Read more
REIT sells Shinagawa office at loss as vacancy rate jumps to 50%
A J-REIT has sold a large office building in Shinagawa at a 12% loss to an unnamed buyer. The sale price of 61 billion Yen (approx. US$403 million) is 12% below book value and 8.5% below an October 2023 appraisal.Read more
Chiyoda office vacancy rate reaches 39-month low
In February, the office vacancy rate in the Chiyoda business district in Tokyo reached the lowest level in 39 months. According to office brokerage Miki Shoji, the vacancy rate dropped by 0.2 points from the previous month to 2.96%. This is 1.4 points lower than 12 months ago.Read more
Omotesando office building sells at 3% cap rate
A recently-built office building in Omotesando has been acquired by a J-REIT at an assumed cap rate of 3.0%. Japan Real Estate Investment Corporation (JRE) acquired a 77% ownership interest in the 13-story ‘3rd Minami Aoyama’ building from its sponsor Mitsubishi Estate for 21 billion Yen (approx. US$143 million) on March 8.Read more
Toranomon Hills Business Tower floor sells for 8.4 billion Yen
United Urban Investment Corporation, a J-REIT, has paid 8.435 billion Yen (approx. US$56 million) for the 8th floor in Toranomon Hills Business Tower. The cap rate is 3.3%.Read more
Harumi's office market woes continue
News broadcaster NHK has now picked up on the struggling office market conditions around Tokyo Bay, particularly Harumi island. Of interest is the Harumi Island Triton Square office complex. The landmark project was completed in 2001 with a shopping mall inspired by Southern Europe. Above, there are four office blocks with a total floor area of 383,300 m2 (4.1 million sq.ft).
Office occupancy was great up until five years ago, with some of the towers fully leased up. Now, there is around 10,000 tsubo or 33,000 m2 of vacant space. One of the office towers has a vacancy rate of 20%.Read more