J-Tower is an 18-storey office building with a three-storey office annexe in Fuchu city, a suburban area near Tokyo’s central business district. Meanwhile, the 13-storey Toyobo Building is in central Osaka, Japan’s second-largest city. The property was constructed in 1980 as the headquarters of Toyobo, one of the largest textile firms in Japan. It is currently one of the largest office submarkets in Osaka with around 36,000 square metres of office space, a cafeteria and a convenience store.
“Low vacancy rates, strong tenant demand and limited office supply in Tokyo and Osaka, against a favorable economic backdrop for Japan overall, provide a compelling rental growth and stable income opportunity for our investors,” said Benett Theseira, head of Asia Pacific for PGIM Real Estate.
Over the past 14 months, it made three acquisitions in Tokyo including B-Town (a three-storey, multi-tenant asset acquired in June 2017), Jingumae 6 (a multi-tenant retail anchored redevelopment acquired in December 2017) and Italian Cultural Institute Building (an office building acquired in October 2016).
PGIM Real Estate is the real estate investment arm of PGIM, the $1 trillion global investment management businesses of NYSE-listed Prudential Financial Inc. PGIM recorded gross assets under management of $69 billion as of September 30, 2017.