GIC-Sumitomo JV
From Taighde
GIC-Sumitomo JV is a joint venture between the GIC Real Estate, a unit of the Government of Singapore Investment Corporation, and Sumitomo Corporation. On May 24, 2007 GIC RE announced that it was forming a joint venture with the Sumitomo Corporation in order to invest in large-scale retail properties across Japan. The joint venture aims to invest up to JPY 150 billion (about US$1.3 billion) in all types of retail properties in Japan, including both completed and development projects. The joint venture will also acquire sub-performing assets and add value to them through effective management.
The target markets for the joint venture are the metropolitan areas of Tokyo, Osaka, Nagoya and other major cities. Sumitomo Corporation will be the asset manager for the joint venture and be responsible for sourcing, development and operations.
The joint venture has already successfully invested in several assets, including Mito Keisei Department Store in downtown Mito City in Ibaraki Prefecture, Hanshin Mikage Development Project in Kobe City, Hyogo Prefecture, Fuchu Katamachi Development Project in Fuchu City, Tokyo Prefecture, and Shonan Tsujido Development Project in Fujisawa City, Kanagawa Prefecture.
GIC RE has been investing in the Japanese real estate market since 1997, and its key assets in Japan include Shiodome City Center, Fukuoka Hawks Town, Shinagawa Seaside Towers, four Oakwood serviced apartment complexes, Aeon Sendai Tomiyacho Mall, and logistics facilities through a joint venture with ProLogis. GIC RE’s global portfolio of retail properties includes investments in MetroCentre in Gateshead, UK, Bluewater Shopping Centre in Kent, UK, Roma Est in Rome, Italy, Sunway Pyramid Mall in Malaysia, and Queen Victoria Building in Australia.
Sumitomo Corporation has extensive experience in retail investment, development and management in Japan. Their retail property management company subsidiary, Sumisho Urban Kaihatsu, currently manages over 10 retail properties, including major shopping malls like Odaiba Decks in Tokyo and Universal Citywalk in Osaka. Sumitomo Corporation also holds the operating rights for Barneys New York in Japan. In addition, the company owns the Summit Store Supermarkets and Sumisho Drug Stores, as well as stakes in several other large retail chains.
