1. Japan: REIT Acquires Two Tokyo Hotels
Tokyo-based real estate investment trust Japan Hotel REIT Investment Corp. acquired two Tokyo hotels for a combined investment of approximately $115 million.
The purchases included the 76-room Mimaru Tokyo Shinjuku West and the 169-room Amanek Shinjuku-Kabukicho, bringing the REIT’s total holdings to 49 hotels with more than 12,000 rooms valued at about $2.6 billion. Nearly half of its properties are operated by international brands such as Hilton, IHG Hotels & Resorts, Accor and Marriott International.
2. UK: Amazon May Occupy Largest Spec Warehouse
Amazon is continuing its return to leasing space in the United Kingdom’s logistics market, as it prepares to possibly occupy what is billed as the country's largest-ever warehouse built on speculation.
Sources said Amazon has entered talks to lease a building topping 884,000 square feet in a two-building project being built by industrial developer Panattoni, subject to modifications and planning approvals. After about two years of global real estate pullbacks, Amazon this year has struck deals for large warehouse spaces including one in the Segro Logistics Park Northampton development.
3. France: Prominent Paris Mixed-Use Property Sold
Investment firm Roka finalized a purchase of a prominent Paris mixed-use property in a sale that was highly anticipated, as analysts watch for a property transaction rebound in a challenging climate.
Roka, led by Nicolas Marin, acquired the residential and retail property at 153 Faubourg-Saint-Honoré in Paris. Sources said brokers received nearly 25 offers for the property, which Roka purchased for slightly more than €60 million.
4. Germany: Hotel Sales Gain Momentum
Germany’s hotel property investment market is showing signs of slow-but-steady growth, with deals in the first half of 2024 totaling about €545 million, up 40% from the year-earlier period, according to brokerage BNP Paribas Real Estate.
That figure was still 58% below the average for the past 10 years. Other brokers said the past two quarters were characterized by hotel acquisitions with an eye toward repositioning older properties, with more than 80% of transaction volume involving independent hotels now being rebranded.
5. Canada: Apartment REIT To Sell Mobile Home Business
Canada’s largest residential real estate investment trust has agreed to sell its mobile home business to an entity controlled by TPG Real Estate, and the United States investment giant said it plans to expand the housing portfolio north of the border.
Canadian Apartment Properties REIT, also known as CAPREIT, said TPG agreed to purchase the business for about $542 million in U.S. dollars. CAPREIT’s manufactured home portfolio includes more than 12,000 residential lots across 75 states throughout Canada.
6. US: Problem Office Loans Drag on Banks’ Finances
Two large banks are showing that the office market's recovery may well be a bumpy ride, amid a growing number of real estate loan charge-offs tied to the struggling property category.
Bank of America and PNC Financial Services, in second-quarter earnings reports, said they wrote off hundreds of millions of dollars more in delinquent commercial real estate loans during the three months that ended June 30. That extends a streak of several quarters of commercial real estate loan charge-offs reported by multiple banks, primarily stemming from loans for office properties.
This report was compiled from CoStar’s news publications in the United States, United Kingdom, Canada, France and Germany.