Japan: French fund manager AXA IM has acquired 29 multifamily residential properties and four student housing assets in Japan.
AXA IM Alts, a regular investor in Japanese real estate, has acquired two residential portfolios in two separate transactions totalling €423 million ($418 million) in value.
The 1,482-unit multifamily portfolio is spread across high-density neighbourhoods within Greater Tokyo and Osaka, while the student housing assets comprise 539 studio apartments near universities in Greater Tokyo.
Both portfolio acquisitions were made on behalf of clients by AXA IM Alts, which has €188 billion in assets under management worldwide.
The multifamily portfolio’s assets were all built within the last two years and are weighted heavily towards studio apartments. Most of the 29 properties feature auto-locking entrances, delivery boxes, high quality interiors, and all have excellent transport links to CBD areas, says AXA IM.
The student accommodation portfolio consists of four newly built properties run by National Students Information Centre, one of Japan’s largest student housing operators.
Laurent Jacquemin, AXA IM Alts’ head of Asia Pacific., said: “These transactions extend our residential footprint in two of Japan’s most densely populated cities, where demand for high-quality residential units significantly exceeds current supply. Against a volatile macroeconomic backdrop, the highly defensive build-to-rent and student accommodation sectors are two of AXA IM Alts’ strong conviction calls, reflecting their favourable demographic and societal drivers and attractive income and capital growth characteristics.”
The latest transactions mark AXA IM Alts’ second and third acquisitions in Japan this year, following the purchase of a pair of rental residential properties in Tokyo for $54 million in May.
