Ascott Launches New Serviced Apartment Property in Tokyo

Ascott International, a worldwide provider of serviced apartments, is set to open the doors of its first Citadines property in Tokyo on March 1.

The new Citadines Tokyo Shinjuku serviced apartments will be located in the heart of Tokyo and within walking distance to the Shinjuku East area which is one of Tokyo’s prime urban centers. The Shinjuku East area is the prime entertainment and shopping hub in Tokyo with the Marunouchi and Toei Shinjuku subway stations within close proximity. Citadines Tokyo Shinjuku is conveniently situated near restaurants, supermarkets, shopping malls, the Shinjuku hospital and Shinjuku Gyoen National Garden.

The new serviced apartment property will offer 160 studio units with fully-equipped kitchens and access to a fitness facility 24 hours a day. Each unit contains high-speed Internet access, air conditioning, babysitting services, continental breakfast, dry cleaning, laundry service, LCD flat screen television, telephone, in-room safe, and convenient car parking. Move and Stay at www.moveandstay.jp has additional information on accommodations.

The property will provide housing for primarily Japanese clients due to the decrease in business travel by foreigners. The Japanese clients will be mostly leisure travelers who are choosing to vacation within Japan. Ascott predicts a 50 per cent occupancy rate for the Citadines Tokyo Shinjuku serviced apartments during its first month in business.

Ascott International is already operating two serviced apartment properties in Tokyo under the Somerset brand, the Somerset Azabu East and the Somerset Roppongi. Ascott is the world's largest international serviced apartment owner-operator with over 18,000 operating serviced apartment units in key cities of Asia Pacific, Europe and the Gulf region, as well as about 7,000 units which are under development, making a total of close to 25,000 units.

The company operates three brands: Ascott, Somerset and Citadines. Its portfolio spans 67 cities in 22 countries, 15 of which are new cities in Ascott's portfolio where its serviced apartments are being developed. Ascott's properties are located in London, Paris, Brussels, Berlin and Barcelona in Europe; Singapore, Bangkok, Hanoi, Kuala Lumpur, Tokyo, Seoul, Shanghai, Beijing and Hong Kong in Asia; Melbourne, Perth and Sydney in Australia, as well as Doha, Dubai and Manama in the Gulf region.

Sakura Group Reports Mixed Results from Commercial Property Investment

The Sakura Group. a Japanese real estate investment company, has reported mixed results from its operations according to the company’s Japanese executive director. The Sakura Group has invested more than 76 million dollars in a variety of projects over the past 13 years that range from commercial buildings and hotels, to serviced offices and serviced apartments.

Some of the projects by the Sakura Group have prospered while others are facing effects of the economic downturn according to the Sakura Group’s executive director. The properties that are prospering are the serviced office and serviced apartment projects with the hotel properties significantly falling behind.

The company’s other investment projects in Myanmar that include serviced offices and serviced apartments are doing well. These projects were established beginning in 1998. Downtown Yangon’s Sakura Tower, a 36 million dollar investment project, is one of the city’s most successful serviced office rental spaces. The Sakura Group has also invested in five additional condominiums and serviced apartment projects in Yangon which total of 25 million (US).

The serviced office occupancy in Sakura Tower is currently at 60pc of floor space and the demand for office space in this facility is rapidly increasing. Most of the clients in Sakura Tower are foreign oil and gas companies which usually continue to maintain office space during periods of economic downturn.

The serviced apartment properties are prospering with an occupancy rate of 99pc and the Sakura Group plans to raise rentals due to the increase in demand for this type of accommodation.

The Sakura Group has invested $15 in Bagan Thiri Pyitsaya Sakura Hotel since 1996 and the property is experiencing a loss due to the economic downturn as the economic climate is appearing to hit this sector very hard. The hotel was achieving steady profits until 2006-07 when profits began to decline and last year profits were down by 60 percent with occupancy rates running at 30 pc.

For additional information on serviced office and serviced apartment availability in Japan, log onto Move and Stay at www.moveandstay.jp.

St Martins Acquires Serviced Apartment Tower in Tokyo

St Martins, a leading UK-based property development and investment company for the Kuwaiti Investment Authority, recently acquired a luxury serviced apartment high rise residential tower in central Tokyo for Â¥13 billion ($142 million; €109 million). The 27-floor residential tower property acquisition represents the company’s first venture into Asia.

The serviced apartment property is known as the Lietocourt Arx Tower and is centrally located in Minato, Chuo-Ku which is near to the Nihonbashi and Ginza, Tokyo business and retail district. The building was previously owned by KK daVinci Advisors, a Tokyo-based fund manager, and consists of 281 serviced apartments which occupy over 29,701 square meters of space. The Lietocourt Arx Tower was constructed and completed by February of 2007.

St Martins financed the acquisition with a bond issue to the Tokyo Star Bank Limited which was arranged through the Real Estate Finance department of Nikko Citigroup. The acquisition is the first of a series of investments by St Martin that are planned for this region. St. Martins has also been seeking investment opportunities in China, Hong Kong, Singapore, Vietnam, and Australia.

St Martins also plans serviced apartment property acquisitions in primary cities in Continental Europe and the United Kingdom and recently purchased a 23-floor serviced apartment tower in Central London for €500 million ($786 million).

St Martins is a leading development, investment and asset management company with a diverse portfolio in the UK, Europe and Australia. As the UK-based real estate investment vehicle of the State of Kuwait, St Martins has significant financial strength. The company has a track record in the property industry that dates back to 1924 and currently owns more than 1 million square meters of commercial property that includes serviced apartments.

St Martins now has a portfolio of over 80 properties consisting of serviced offices, serviced apartments, and residential facilities. The company headquarters are situated in its London Bridge City development with regional offices in Brussels, Frankfurt, Melbourne and Perth.
The Kuwait Investment Authority, a commodity sovereign wealth fund, was created in 1953 from oil revenues and was the world's first sovereign wealth fund to be launched. Its fund is estimated to be worth around $250 billion.

Move and Stay at www.moveandstay.jp has additional information on accommodation in Tokyo and throughout Japan.