Real estate private equity firm Gaw Capital Partners has teamed up with asset manager Alyssa Partners to acquire a portfolio of residential assets in Tokyo from a major Japanese conglomerate.

Gaw made the acquisition through its Japan multi-family real estate investment platform, in which Qatar Investment Authority and an institutional investor have invested.

The 29 properties comprise 835 contemporary apartment units.

Strategically located across Tokyo, the portfolio consists of 29 high-quality multi-family properties, with an average age of less than three years. With a total gross area of approximately 30,000 square meters, the assets comprise 835 contemporary apartment units. The properties are conveniently situated within a short walking distance of around five minutes from a subway or train station.

“We believe in the long-term prospects of Japan's residential sector and the resilience of its housing market,” says Isabella Lo, managing director, principal – investments and head of Japan at Gaw Capital Partners.

“The acquisition of these well-located and high-quality multi-family properties further enables us to leverage our expertise in enhancing the value and appeal of the properties and creating exceptional living spaces that meet the evolving needs of residents.”

Over the past 12 years, Tokyo’s residential occupancy has never fallen below 95%. Rents are also highly resilient even after major market shocks including the global financial crisis and Covid-19, correcting only 10% and 5% respectively (while office rents experienced a sharp drop). Supported by inflation, wage growth and rising construction costs, Tokyo residential rents have started an upward trajectory, increasing by 3.5% in 2023.