Savills Investment Management (Savills IM), a London-based real estate fund manager, has completed the acquisitions of office and residential assets in Japan and a $54 million shopping centre in Australia’s Perth, per an announcement.

The assets will be part of Savills IM’s flagship pan-Asia fund — the Asia Pacific Income and Growth Fund.

The investments in Japan marked the first capital deployment in the country’s office and residential sectors. The properties, which were acquired through a series of off-market transactions, include 13 rental apartments and six master-leased student accommodations of 576 units with a combined lettable area of roughly 25,000 square metres.

Located in Greater Tokyo and Fukuoka, the residential properties were acquired from separate vendors for an undisclosed amount.

Savills IM also acquired a Yokohama office complex which spans 5,500 square metres of lettable area.

In the same statement, Savells IM — the investment arm of property brokerage firm Savills — announced that it had acquired a 75% stake in Forest Lakes Shopping Centre in Perth, Australia for approximately €54 million ($54 million). Greenpool Capital, a local retail real estate company, holds the remaining 25%.

The 14,580-square metre shopping mall has an occupancy rate of 97% and a remaining average lease term of 8 years. 

“Due to its transparency, Australia is an important and attractive destination for real estate investments and therefore also plays an important role in our flagship pan-Asian fund…,” said Greg Lapham, head of Australia at Savills IM. “The residential purchases in Japan contribute to the diversification of the fund portfolio in the country and offer a high cash-on-cash income from day one.” 

Launched in December 2020, the Asia Pacific Income and Growth Fund targets income-generating assets with an 8-10% internal rate of return (IRR) in developed markets in the region. It hit its first close of $117 million in May 2021, and now manages 17 properties across Australia and Japan. It has around €207 million ($207 million) in equity commitment.