Japan’s real estate market is touted by its neighbors
But perhaps counterintuitive, Japan seems to be a beneficiary of rising tensions in the region. For example, Taiwan’s capital began to flow into the Japanese real estate market in the near future. This is not an attempt to quickly see the benefits of hot money, but am worried that future collection of hedge funds looking for a safe haven.
Haruo Yamamoto, the Tokyo of Largo Real estate company president and founder, and his staff went to Taiwan every month, held a seminar on the purchase of real estate in Japan. At the same time, Largo, and many companies still teach the skills of real estate sold to “foreigners” to the Japanese.
In the past 20 years, Japan has highlighted the lack of flexibility, the problem is difficult to change. But it is precisely because of this stability, in the eyes of the people worried about the instability of the rest of Asia, Japan has become an ideal destination. Indeed, in a certain sense, the Japanese real estate is the ultimate risk aversion trading especially wary of foreign buyers of U.S. Treasury bonds.
All this shows that, even in Japan constantly subject to the threat of deflation, the more serious population problem long-term risks, there are also investment opportunities.プラダレディース財布
Topix Real Estate Index rose by nearly 30% this year, though some of the acquisition of their real estate investment trust (Reit) and other assets from the Bank of Japan (Bank of Japan).
Investment opportunities shrunk. Japan is more like Switzerland, not Silicon Valley, and pitted more than comfortable. No longer purchase the cutting-edge of technology investment, the stock of the best companies in the product, but to buy the company stock will not fall too much.
The enthusiasm of the background of the real estate is increasing global preference for hard assets rather than financial assets. Thus, compared to the purchase of bank stock, a more sensible approach is to buy the stock of real estate companies and funds. Pension funds and sovereign wealth funds, especially large appetite. In order to better attract pension funds, Goldman Sachs (Goldman Sachs) launched in Japan a private real estate investment trusts, so without its assets held by the mark-to-market, and accept the potential volatility of these funds.
Omotesando (Omotesando, the Japanese in the eyes of the Champs-Elysees (Champs-Elysées)) and other real estate section of the Tokyo prime locations for the Taiwanese, they can borrow from local banks in Taiwan, or the interest rate to as low as 2% from Japanese bank lending, investment yield of 5-6%. View of the Japanese government bond yield was only 0.7%, this yields considerable.
The influx of mainland China investors also Japan. Blackstone (Blackstone) on behalf of the official Chinese sovereign wealth fund to buy real estate portfolio in Japan. However, there are a large number of flight capital from mainland China into Japan – the purchaser or to pay cash or use a debit card for real estate transactions.
The private equity firm TPG said in a recent letter to investors purchased a number of non-performing real estate portfolio, and raise the price 25%. Washington to support an investment company for real estate in Japan and China. The PAG Investment Group in Hong Kong (Pacific Alliance) and Secured Capital just bought from the hands of the Royal Bank of Scotland (Royal Bank of Scotland), a fashionable Omotesando building.
The relative strength of the yen makes foreign investors to buy costly. But this also made the transaction more attractive, because the yen is one of the few major currencies by the central bank to support the Bank of Japan do not want to printing money machine, low risk means that the yen lower in the short term.
However, now the Japanese these selling points is the lack of sufficient understanding, but rather have $ 50 billion into the U.S. real estate investment trusts market, because Japanese people do not trust their own market.
Not long ago, the Tokyo Stock Exchange (Tokyo Stock Exchange) and the Japan Financial Hall (FSA) (together with Goldman Sachs), the delegation visited the United States to study how to boost interest in the Japanese domestic market, while the Japanese market, the large Japanese The Real Estate Group tend to use real estate investment trust as a garbage dump. For example, brokers CLSA (CLSA), there are rumors saying that he would allow the real estate investment trust in the stock repurchase and rights issues.
However, the most important experience, the enterprise market, the Japanese real estate market is open to foreign investors. The Japanese stand idly by, but the participation of foreign investors can have a major impact.プラダバッグ