GLP has announced the sale of GLP Narita to a private equity fund. The sale price of JPY8.2bn (US$72m) equates to a 4.9% cap rate and represents a 12% premium to book value.
The sale of the 51,000 sq m (549,000 sq ft) property in Greater Tokyo is expected to be completed this month.
Yoshiyuki Chosa, President of GLP Japan, said, “This transaction is an opportunistic disposition, consistent with our strategy of recycling capital and maximizing returns for GLP shareholders. Japan is one of GLP’s core markets for development and growing our fund management platform.”
Including the latest transaction, GLP has generated US$1.1bn cash profit from US$4.8bn of asset sales in Japan since FY12, representing a 13% Internal Rate of Return before fees and promotes.
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Source: GLP Group