Lone Star Funds Acquires Multi-Family Residential Portfolio in Central Tokyo

DALLAS & NEW YORK & LONDON & TOKYO--(BUSINESS WIRE)--Lone Star Funds (“Lone Star”) today announced that an affiliate of Lone Star Real Estate Fund VII, L.P has successfully completed the acquisition of a multi-family residential portfolio (a total of 1,166 units) in central Tokyo.

Located in the Shinkawa and Tsukuda submarkets of Chuo Ward in Central Tokyo, the portfolio consists of a 35-story, 505-unit residential tower and a separate campus of five buildings, four residential and one retail, totaling 661 units and nine retail tenants. The properties, which sit along a waterfront residential area, have excellent access to the key central business districts and are conveniently located within a brief walk from the closest train station.

Lone Star will invest in the properties through a targeted capital expenditure program to continue to drive appeal to existing tenants and attract new renters with amenity upgrades. Lone Star has executed similar value-add investments in Tokyo, successfully upgrading properties and increasing net operating income.

Jérôme Foulon, Global Head of Commercial Real Estate, Lone Star Funds stated: “This transaction demonstrates our continued commitment to Japan, one of our most important investment markets. We believe our local presence, long-standing relationships and extensive experience positions us well to identify and execute attractive opportunities such as this.”

Mitsuo Matsunaga, Executive Chairman, Japan, Lone Star Funds added: “This investment reflects our continued conviction in the fundamentals of Japan's residential sector and the long-term attractiveness of central Tokyo. The portfolio comprises well-located assets in highly desirable neighborhoods. We will continue to invest in the properties to help capture the strong demand and growth in this market.”

About Lone Star

Lone Star is a leading investment firm with its principal office in London, UK advising funds that invest globally in private equity, credit and real estate. The firm has been successfully navigating complex situations for over 30 years. The funds are experienced value investors that seek opportunities in situations that are in flux or complicated by specific structural or financial factors, regardless of the prevailing market environment. Our deep bench of senior leaders and expert deal professionals ensures a strong foundation for successful investments and strategic decision-making. Since the establishment of its first fund in 1995, Lone Star has organized 26 private equity funds with aggregate capital commitments totaling approximately $96 billion. For more information regarding Lone Star Funds, go to www.lonestarfunds.com. Follow us on LinkedIn.