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CoStar World News for Nov. 21

Investor plans to buy three Tokyo hotels; Global law firm leases large London office space; BlackRock partners in French logistics property purchase

Loadstar Capital K.K. plans to acquire three hotels in Greater Tokyo, including one in the city's Meguro Ward. (Getty Images)
Loadstar Capital K.K. plans to acquire three hotels in Greater Tokyo, including one in the city's Meguro Ward. (Getty Images)

1. Japan: Investment firm plans to buy three Tokyo hotels

Tokyo-based investment firm Loadstar Capital K.K. said it has a deal in place to acquire three hotels in the Tokyo area for nearly $40 million as part of a wider expansion of its Japanese hospitality portfolio in response to growing tourist demand.

A company statement said properties to be purchased include two within Tokyo and one in nearby Kawasaki City, a few miles southwest of the Japanese capital. Slated to close Nov. 26, the deal is valued at approximately 5.8 million Japanese yen or $37.7 million and comes after Loadstar’s March purchase of six luxury resort hotels located across several Japanese cities.

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2. UK: Global law firm leases large London office space

Property owner British Land said it completed a large office lease to global law firm Akin Gump Strauss Hauer & Feld, which is expanding its presence at a prominent London office building as tenant demand in the region increases.

Sources said Akin is subleasing 73,000 square feet at Ten Bishops Square and is expanding to approximately 77,000 square feet across four floors as part of a 15-year lease. The property at 155 Bishopsgate is co-owned by British land and Singaporean sovereign wealth fund GIC, and is part of the larger Broadgate campus. 

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3. France: BlackRock partners in big logistics property purchase

A joint venture between Garbe Industrial Real Estate and a fund managed by global investment giant BlackRock acquired a French logistics portfolio for about €90 million as industrial properties in the region continue to attract international investors.

Sources said the investment firms prevailed after a two-round bidding process for properties placed up for sale by investment firm Alderan on behalf of PGIM Real Estate. The portfolio includes four logistics warehouses totaling nearly 109,000 square meters and built between 1976 and 2021. Hamburg, Germany-based Garbe and New York-based BlackRock aim to “build a portfolio of logistics real estate with strong environmental sustainability credentials,” according to a statement from the buyers. 

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4. Germany: Polish investor acquires stake in apartment portfolio

Polish Globe Trade Centre, a Warsaw-based investment and development group, plans to acquire the bulk of a German apartment portfolio placed up for sale several months ago by Peach Property Group.

Sources said the buyer is purchasing an 89.9% stake in a portfolio that includes 5,200 apartments in a deal that puts the full portfolio value at €448 million, which is below the most recent book value. Peach Property plans to use proceeds to reduce debt and invest in its remaining properties. 

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5. Canada: Quebec seeks development proposals for former convent

A massive former convent in the heart of Montreal’s fashionable Plateau borough may finally be converted into housing after sitting empty for nearly 10 years, as Canada aims to increase its stock of affordable residences.

The Quebec provincial government has begun fielding proposals for the property that was purchased by the province in 1979 and used for its hospital system until 2015. Seven stone structures at the complex were first inhabited by the Sisters of Charity in the 1880s, and some may need to be demolished. The property sits in a densely populated area near a metro station that could be equipped with a residential tower of unlimited height, according to a broker overseeing the proposal process. 

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6. US: Blackstone’s $8 billion Jersey Mike’s deal marks latest private equity purchase of dining chains

Blackstone still has a hearty appetite for investing in restaurant chains as it looks to buy a majority stake in Jersey Mike's Subs for a reported $8 billion — marking the latest deal by a private-equity firm aiming to supercharge a growing company’s brick-and-mortar expansion.

New York-based giant Blackstone said it reached an agreement for the majority ownership position in Jersey Mike’s, the fast-casual chain that touts its freshly prepared submarine sandwiches. The Manasquan, New Jersey-based company, the second-biggest U.S. sandwich chain, is a national franchisor with more than 3,000 locations open and in development.

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This report was compiled from CoStar’s news publications in the United States, United Kingdom, Canada, France and Germany.