Singapore-based SC Capital Partners Group said it has secured a $330 million initial capital commitment from a consortium led by Canada Pension Plan Investment Board (CPP Investments) for its Japan hospitality strategy.
The consortium has made an initial commitment of up to 51.7 billion yen ($330 million), with the capacity to increase total commitments to as much as 112.7 billion yen ($719 million), per the announcement.
CPP Investments will invest up to $162 million as part of the initial commitment, alongside an existing global institutional investor that has been investing in the strategy since 2022, according to SC Capital Partners.
The value-add strategy focuses on hospitality investments across Japan. It acquires, repositions, and operates hotel-related assets amid a rebound in the country’s inbound tourism.
Suchad Chiaranussati, chairman and founder of SC Capital Partners, said Japan remains one of the most attractive hospitality markets in Asia, and competition has intensified meaningfully with the influx of global institutional capital.
“We are delighted to welcome CPP Investments on board as a new partner to our Japan hospitality strategy,” said Chiaranussati, adding that hospitality was positioned to be among the more rewarding sectors over the next year.
Founded in 2004, SC Capital Partners manages about $9 billion in assets under management (AUM) as of Sept. 30, 2025, with Japan accounting for roughly 75% of the total.
In December, the firm commenced the construction of a new data centre in Osaka, Japan, with a total investment of $600 million for the first phase of development.
The firm said it is currently advancing additional data centre developments and acquisitions in Japan, South Korea, and other key Asia Pacific markets.
SC Capital Partners is the majority owner of Japan Hotel REIT Advisors, a specialist in local hotel asset management, and the sole owner of Hotel Management Japan, an established local hotel operating company.
CPP Investments, on the other hand, manages the Canada Pension Plan Fund, which has a total AUM of C$777.5 billion as of September 30, 2025. It is headquartered in Toronto, with offices in Hong Kong, London, Mumbai, New York City, San Francisco, Sao Paulo, and Sydney.
Gilles Chow, head of real estate for Asia Pacific at CPP Investment Board, said Japan stood out as one of Asia’s most attractive hospitality markets, driven by strong inbound tourism growth and sustained domestic demand.
“This partnership gives us access to high‑quality opportunities and the execution capabilities to convert these tailwinds into long‑term value for CPP contributors and beneficiaries,” Chow said.
