2026/06/30
NoticeNotice of Establishing Residential Fund II and Property Acquisition
Compass Asset Management Co., Ltd. (HQ: Chiyoda-ku, Tokyo; RD: Hitoshi Maehara; hereinafter referred to as “Compass AM”) is pleased to announce the completion of its first acquisition under “Japan Residential Core Plus 2,” a new fund established to meet the growing demand from overseas investors for diversified exposure to Japanese real estate. The purchase agreement was signed on June 30, 2026, with handover of the properties expected in August 2026. The acquisition comprises three newly built residential buildings in Setagaya-ku, Tokyo, totaling 75 units.
Tokyo continues to see strong demand in the rental housing market, driven by steady population inflows into central Tokyo, rising wages amid an inflationary environment, and a constrained supply of new housing. Compact residences designed for single occupants and small households — particularly those with strong transit access and well-developed surrounding infrastructure — have proven especially resilient, offering investors a combination of stable rental demand, operational consistency, and asset liquidity.
The three properties are all located in Setagaya-ku and benefit from outstanding transit connectivity, just a 2- to 8-minute walk from the nearest station, putting major business and commercial hubs such as Shinjuku, Shibuya, and Shinagawa within easy reach for commuters and students alike. Completed in April 2026, the reinforced-concrete buildings are designed primarily around 1K and 1LDK layouts suited to singles and couples, with a selection of 2K and 2LDK units rounding out the mix — catering to the varied lifestyles of young professionals, dual-income households, and commuters into central Tokyo.
Compass AM will continue to draw on its deep expertise in Japanese real estate investment and asset management, with a focused strategy targeting high-quality residential assets in Tokyo’s core and semi-core areas. Through disciplined asset management and a commitment to operational excellence, the company remains dedicated to delivering on the diverse investment needs of its investor base.