Sojitz Corporation and Goldman Sachs have entered into agreement to jointly establish, in 25–75 partnership, a new company for the purpose of investment in residential properties in Japan.
Sojitz aims to contribute to the revitalization of Japan’s residential rental market by forming a strong partnership with Goldman Sachs. Through the partnership, Sojitz and Goldman Sachs target to acquire $300 million of assets in the fiscal year 2022, and then $400 million to 500 million annually thereafter.
Despite the COVID-19 pandemic, the Japanese residential sector showed strong resilience, with occupancy remaining stable and rents growth continuing. With Japan’s financing costs remaining extremely low compared to other countries, the market continues to present very attractive investment opportunities for international investors. In addition, the strategy to improve tenant demand by renovating aged properties places less burden on the environment compared to re-construct
