Seibu Holdings announced on December 12 the sale of Tokyo Garden Terrace Kioicho in Chiyoda Ward, Tokyo, to a real estate fund managed by U.S. investment giant Blackstone.
The transaction, valued at approximately ¥400 billion, is the largest real estate investment deal in Japan ever made by a foreign firm.
Tokyo Garden Terrace Kioicho courtesy of Seibu Holdings website.
The mixed-use complex, built on the former Akasaka Prince Hotel site, spans about 230,000 square meters and includes offices, a hotel, residences, and retail spaces.
Seibu and Blackstone also signed a strategic agreement on the same day to establish a long-term partnership. This move aims to enhance Seibu’s corporate value by boosting asset liquidity and advancing its real estate asset rotation strategy.
As part of the deal, Seibu Realty Solutions will manage the property’s office and retail sections, while Seibu Real Estate Investment Advisory Co. will handle asset management.
Proceeds from the sale will support Seibu’s initiatives to upgrade its flagship hotels, invest in workforce development, and enhance its natural capital assets, including its extensive forestry holdings.
