GIC acquires office stake in Tokyo for $558m

GIC, Singapore’s sovereign wealth fund, will acquire a 43 percent stake in Shinjuku MAYNDS Tower, a large-scale class-A office property in Tokyo, from Daiwa Office Investment Corp.

Daiwa Office Investment Corp. will retain the same stake as that of GIC, with the remaining stake held by a domestic company.

“This investment in Shinjuku MAYNDS Tower is a unique opportunity to acquire a sizeable and stable income-producing asset, well-positioned in the market to capture its future growth potential,” said Lee Kok Sun, CIO, GIC Real Estate. “We have been investing in Japan for nearly 30 years and remain confident in Japan’s continued growth in the long run. As a long-term value investor, we will continue to pursue opportunities to invest in quality assets with steady cash-flows. We look forward to partnering with Daiwa Real Estate Asset Management to enhance the value of this asset.”

Shinjuku MAYNDS Tower is a high-quality, 34-story office building in Shinjuku, one of Tokyo’s largest commercial and retail districts. It is located in the newly redeveloped area south of Shinjuku Station, offering good access to the main JR Shinjuku Station, as well as direct underground access to multiple subway lines. Due to its prime location, the property has attracted numerous quality tenants.