Tokyo-based real estate investment trust Japan Hotel REIT Investment Corp. acquired two Tokyo hotels for a combined investment of approximately $115 million.
The company paid approximately 9.6 billion Japanese yen ($60 million) for the 76-room Mimaru Tokyo Shinjuku West and approximately JPY8.8 billion ($55 million) for the 169-room Amanek Shinjuku-Kabukicho.
The brand Mimaru is an aparthotel brand with 27 properties in Kyoto and Osaka, as well as in Tokyo.
The Mimaru opened in 2020, and the Amanek in 2023.
Japan REIT now has 49 hotels and 12,516 rooms with a combined acquisition value of JPY415.4 billion ($2.6 billion).
Almost half of those hotels are operated by international brands, namely Hilton (29.4%); IHG Hotels & Resorts (6.8%); Accor (6.1%), and Marriott International (4.4%) under, respectively, brands Hilton; Holiday Inn; Mercure and Ibis, and Sheraton.
One of the REIT’s largest operations tenants is Oriental Hotels, which operates 24.1% of the REIT’s portfolio.
Japan REIT reported in a news release that on July 31 it anticipates the closing of two additional hotels in Japan — the 352-room Okinawa Harborview for JPY21.5 billion ($144 million) and the 448-room Southern Beach Hotel & Resort Okinawa for JPY16.2 billion ($102 million).
Okinawa, located in the southernmost part of Japan, is the country’s foremost beach and resort destination.
If completed, the REIT’s total outlay in July 2024 on hotel assets will have totaled approximately JPY153 billion (approximately $360 million).