Star Asia Investment Corporation (“SAR”), a Japan-based Real Estate Investment Trust (“REIT”) managed by Star Asia Investment Management Co., Ltd. of the Star Asia Group, has completed several domestic transactions as part of a portfolio rebalancing strategy under its “New Mid-Term Plan.” The acquisitions include two hotel assets: the 204-key KOKO HOTEL Nagoya Sakae in Aichi Prefecture for JPY3.95 billion, and the 170-key KOKO HOTEL Sendai Station West in Miyagi Prefecture for JPY2.875 billion. This translates to approximately JPY19.4 million and JPY16.9 million per key respectively. Each property is leased under a hybrid rent structure consisting of fixed and variable components. Combined, they generate a monthly fixed rent of JPY12,375,000, and the variable rent component is calculated as 85% of the monthly Gross Operating Profit (“GOP”), minus the fixed rent, applicable only up to the amount of the fixed rent. In parallel, SAR divested one retail and one residential asset for a tot…
