Blackstone Acquires Tokyo Office Building

TOKYO (Reuters) – Blackstone (NYSE:BX) announced on Thursday its decision to acquire a high-end office building located in central Tokyo for $2.6 billion. This transaction is characterized as the largest real estate investment by a foreign investor in Japan.

The firm will purchase the 36-storey Tokyo Garden Terrace Kioicho office and hotel complex from Seibu Holdings. This strategic move aims to alleviate the railway and property company's balance sheet.

The acquisition underscores the strong global interest in Japan's commercial real estate sector, which boasts low borrowing costs and stable rental yields.

Earlier reports from Reuters in March indicated that Seibu was contemplating the sale of the building for a minimum of $2 billion.

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