(Nov 28): Singaporean sovereign wealth fund GIC Pte Ltd is moving to a larger office in Tokyo’s main financial district, strengthening its presence in Japan as the country’s financial markets gain momentum.
The company will leave its current place in Pacific Century Place Marunouchi, a building in which it owns a stake, and move into Shin-Marunouchi Building in early January, according to people familiar, asking not to be identified discussing private matters. A GIC spokesperson confirmed the firm is moving, adding that space will more than double.
Owned by Mitsubishi Estate Co, the building is a 38-storey mixed-use office tower that is sandwiched between Tokyo Station and the Imperial Palace. The area, called Marunouchi, is one of the most prestigious office addresses in Tokyo, and commands some of the highest per unit rents in the capital city.
Other tenants in Shin Marunouchi include Carlyle Group Inc, SMBC Nikko Securities Inc and Neuberger Berman Group. Mitsubishi Estate didn’t immediately comment.
GIC has said in recent years it is more interested in opportunities in Japan as regulatory reform and the return of inflation have made the market attractive for deals and real estate investment. The company said it sees significant bottom-up opportunities in the region and it’s sourcing for deals that “can generate good, risk-adjusted returns”, the company said in an emailed statement to Bloomberg.
Still, Japan exposure as a proportion of GIC’s overall portfolio had fallen to 4% as of March 2024 compared with 12% in 2019. GIC did not provide an updated figure for Japan investments in its annual report this year.
See also: Singapore rents aren’t going anywhere, AI boom or not
Last year, GIC’s chief investment officer Bryan Yeo said in an interview that the firm plans to grow the team of 40 staff looking at deals related to Japan and expects the pipeline to get bigger.
Uploaded by Chng Shear Lane
