PATRIZIA has acquired a high-quality residential portfolio mostly located in Tokyo on behalf of a global institutional investor.
- Strategic off-market acquisition of 14 high-quality residential assets mostly located in Tokyo
- Expansion of PATRIZIA’s footprint in one of Asia’s most resilient urban markets
- Aligned with long-term urban and living transition megatrends
Tokyo. 3 September 2025. PATRIZIA, an investment manager in real assets, has acquired a high-quality residential portfolio mostly located in Tokyo on behalf of a global institutional investor, reinforcing the company’s strategic commitment to Japan’s resilient residential sector and strengthening its local investment platform.
The portfolio comprises 14 residential assets, including approximately 800 apartment units and five retail units, predominantly located in Tokyo’s highly sought-after Central 23 Wards, with one asset situated in Greater Tokyo (Yokohama, Kanagawa). With an average building age of just over three years and an occupancy rate above 97%, the portfolio offers strong income stability and immediate cash flow.
This acquisition is aligned with the fund’s core-plus strategy, which targets residential assets in major urban centres that offer both income stability and potential for value enhancement. Japan’s residential sector continues to show long-term resilience, supported by steady wage growth, inflationary pressure and sustained urbanisation. Tokyo’s Central 23 Wards remain highly attractive due to consistent population inflows and rising rental demand. With current lease levels across the portfolio around 10% below market rents, there is a clear opportunity to grow income through active asset management and rental reversion over time.
Masami Takizawa, Representative Director and Head of Japan at PATRIZIA, commented: “This acquisition is a significant step forward for our Japan business and a clear reflection of our confidence in Tokyo’s residential market. The portfolio aligns perfectly with our core-plus/value-add strategy and benefits from the structural tailwinds driving demand in Japan’s urban centres.”
The acquisition represents one of PATRIZIA’s most significant single investments in the Japan market to date, and marks a key step toward its ambition to double local assets under management over the next two years.
Masami Takizawa continued: “Looking ahead, we are actively seeking the next opportunity to acquire high-quality assets in key urban locations across Japan where we can leverage our local expertise to drive value through asset optimisation and proactive management. In addition to the living sector, we are now committed to diversifying and accelerating our investments in value-add commercial real estate across Japan, capitalising on market opportunities beyond residential.”
Operating from its Tokyo office with an expanding team of professionals across transactions, capital markets and asset management, PATRIZIA is executing a focused expansion strategy centred on real estate and infrastructure. The Tokyo residential portfolio investment was sourced through PATRIZIA’s strong local network, underscoring the team’s ability to secure high-conviction opportunities in a competitive and supply-constrained market.
The team was recently reinforced by the appointment of Yutaka Yukizawa as Head of Transactions Japan, a senior leadership role responsible for directing the firm’s investment strategy in the country. Yutaka brings nearly three decades of real estate experience, having held positions at Nomura Real Estate Development, Morgan Stanley Securities Japan and PGIM Real Estate Japan, and will play a central role in driving growth. In addition, Jun Akase has joined as Director, contributing 17 years of transactional expertise gained at leading institutions.
The Tokyo portfolio further reinforces PATRIZIA’s position as a leading investor in the living sector, with approximately EUR 16 billion in residential assets under management globally. The company has a strong heritage in this space, and residential remains a key growth area across regions. At the same time, PATRIZIA continues to explore investment opportunities across a broader range of sectors in Japan in line with its diversified investment strategy.
Contacts
Matthew Richards – PATRIZIA
Mobile: +44 7471 999746
Email: Matthew.Richards(at)patrizia.ag
Ayako Masse – Ashton Consulting
Mobile: +81(0)90-2441-9541
Email: a.masse(at)ashton.jp
PATRIZIA: Investment manager for international smart real assets
PATRIZIA has been providing investment opportunities in smart real assets for institutional, semi-professional, and private investors for more than 40 years, focusing on real estate and infrastructure. PATRIZIA’s investment solutions are driven by the “DUEL” megatrends – digital, urban, energy and living transitions – and capitalise on the opportunities arising from these transformative global shifts. PATRIZIA currently has approximately EUR 55bn in assets under management (AUM) and employs about 900 professionals across 26 locations worldwide.
PATRIZIA has been committed to making a positive impact since its founding. In 1992, the company began collaborating closely with Bunter Kreis (“Colourful Circle”) in Germany to provide aftercare for children with severe diseases. Since 1999, the PATRIZIA Foundation has provided more than 750,000 children and young people worldwide with access to education, healthcare and a safe home, enabling them to live better, self-determined lives.