GIC, an investor in Japan for over three decades, has recently notched up its deal activity as the country's interest rates remain low. Last year, it bought hotel and leisure assets from Japanese railway and hotel conglomerate Seibu Holdings . While the real estate market globally has come under pressure due to soaring borrowing costs, the logistics segment remains relatively unscathed.
"Blackstone has reshuffled its (real estate) portfolio over the decade," shifting its focus to logistics, data centres and hotels away from traditional assets like offices, said Daisuke Kitta, the head of Blackstone's real estate business in Japan.
"We've secured solid returns through the latest deal despite the real estate market downturn. It shows that it's important to be selective about assets," he told Reuters.
Blackstone is selling the logistics assets it bought about two years ago from Daiwa House Industry Co . Net operating income for the assets, a key gauge for profitability, has risen 35% under its management, Blackstone said.
The U.S. firm said this month it had raised $30.4 billion for its latest global real estate fund as it looks to double down on the industry. It currently has $332 billion of investor capital under management. (Reporting by Makiko Yamazaki and Ritsuko Shimizu in Tokyo, Yantoultra Ngui in Singapore; Editing by Jacqueline Wong and Raju Gopalakrishnan)
