Goldman Sachs Group Inc. announced plans to launch a private real-estate investment trust in Japan this summer, according to news reports.
The asset management arm of Goldman Sachs plans to gather about 100 billion yen ($1.3 billion) from Japanese and foreign investors to invest in Japanese real estate, a Goldman Sachs official in Tokyo said, according to Reuters.
It will aim to increase the size of the private REIT to around 100 billion yen in two to three years, the person said.
The fund will invest mainly in office buildings in Tokyo, although future investments may include residential and retail properties, as well as targets in major second-tier Japanese cities, the person added. The fund would target investors such as domestic financial institutions and pension funds.
This is the first time the U.S. financial giant has invested in Tokyo properties through its asset-management arm.
