Degi, part of Aberdeen Property Investors, has completed its first investment in Japan by signing the sales contract for the fully let retail property La Porte Shinsaibashi in Osaka. The building, purchased indirectly through a real estate company for EUR 90 mln, is earmarked for the Degi International open-ended property fund. The seller is a special purpose company, invested in an AIG Global Real Estate sponsored fund. Degi was advised by CB Richard Ellis Tokyo.
Degi, part of Aberdeen Property Investors, has completed its first investment in Japan by signing the sales contract for the fully let retail property La Porte Shinsaibashi in Osaka. The building, purchased indirectly through a real estate company for EUR 90 mln, is earmarked for the Degi International open-ended property fund. The seller is a special purpose company, invested in an AIG Global Real Estate sponsored fund. Degi was advised by CB Richard Ellis Tokyo.
'This investment marks our entry into Japan whilst increasing our exposure to the Asian property market. Our aim is to make further acquisitions in Japan and to build a diversified property portfolio that provides a stable basis for our involvement in Asia,' said Malcolm Morgan, managing director at Degi responsible for property acquisitions. 'We also plan to make investments in Asia’s dynamic growth markets, such as China and Singapore, where we see attractive opportunities for property investors. Currently, we are identifying promising acquisitions with the aim of building a significant Asian portfolio.'
Completed in December 2007, the building is situated in the Shinsaibashi quarter, Osaka's most prominent retail location. La Porte Shinsaibashi comprises approximately 3,900 m2 of gross floor area over two ground floors and eight upper storeys. The space is let to six firms on long-term leases including the flagship store of the Spanish fashion chain Zara, which occupies about 42% of the space, and the restaurant chain Barbacoa.
