Latest Tokyo Brief coverage on Ichigo Office REIT Investment Corporation, tracking filings, financial news, and market signals from Japan.
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Ichigo Office REIT is selling its last two retail buildings, in Shibuya and Kamata, for as much as 1.8 times their book value, and using an estimated ¥2.5bn in combined gains to lift its per-unit distribution forecast 28% to ¥7,293, completing a pure-play office portfolio of 80 buildings.
Ichigo Office sold an Oita building at 1.7 times book value, realizing about ¥519mn of gain and placing ¥101mn into a dividend reserve instead of paying it straight out. It then recycled capital into office acquisitions in Tachikawa and Funabashi worth ¥5.56bn combined, a cleaner illustration than usual of how Japanese REITs try to turn one disposal into both portfolio upgrade and payout smoothing.