Allianz set to acquire €1.1b Japanese multifamily portfolio

Allianz Real Estate, acting on behalf of several Allianz companies, has signed a sale and purchase agreement to acquire a portfolio of multifamily residential assets in Japan from Blackstone-managed funds. The €1.1 billion ($1.2 billion) transaction is expected to complete in fourth quarter 2019.

The portfolio comprises 82 assets — 4,600 units offering 160,000 square meters (1.7 million square feet) of net rentable area. And 78 out of the 82 assets are located in Japan’s four major cities: Tokyo, Osaka, Nagoya and Fukuoka. The portfolio is stabilized with a current occupancy of 97 percent and a well-diversified tenant base. All assets are on a freehold basis. This acquisition is in line with Allianz’s strategy of acquiring core income-producing assets for long-term hold.

“This is an outstanding opportunity for Allianz to secure a meaningful exposure to the Japanese multifamily residential sector, a sought-after asset class offering one of the highest stabiliz