The fund manager of Norway's state oil fund, Norges Bank (NBIM) signed an agreement to acquire a 70 percent interest in five properties in Tokyo, Japan, in a joint venture with a new partner, Tokyu Land Corporation, NBIM said on Thursday.
The agreement is scheduled for completion at the end of December.
NBIM will pay 92.75 billion Japanese yen ($823.62 million) for its 70 percent interest in the assets, valuing the portfolio at 132.5 billion Japanese yen.
Tokyu Land Corporation will acquire the remaining 30 percent interest and manage the properties on behalf of the joint venture.
The venture plans to finance 49 percent of the acquisition with a bank loan.
"This is the fund’s first real estate investment in Asia and is in line with our strategy to build a high-quality, global portfolio," said Karsten Kallevig, chief executive officer of Norges Bank Real Estate Management.
"As one of the world’s largest real estate markets, Tokyo will be an important part of the fund’s long-term real estate portfolio," Kallevig added.
By Murat Temizer
Anadolu Agency
energy@aa.com.tr
