Totsu Tatemono Sells Saffron Building No. 2 Near Akihabara to LUGEND

Totsu Tatemono Co., Ltd. has sold the office and retail building Saffron Building No. 2 in Kanda Izumicho, Chiyoda Ward, Tokyo. The buyer is LUGEND Co., Ltd., which is headquartered in the same Kanda Izumicho area, making this an acquisition of a property located in close proximity to its head office. Totsu Tatemono acquired the asset in November 2024, resulting in a holding period of approximately 10 months.

The property is a five-story reinforced concrete building completed in January 1973, with a gross floor area of approximately 55 tsubo (approx. 1,960 sq. ft.). It is located a two-minute walk from Akihabara Station, served by the JR Yamanote Line, JR Keihin-Tohoku Line, and the Tokyo Metro Hibiya Line. Built under Japan’s former seismic standards and now 52 years old, the asset may have been acquired by LUGEND with redevelopment in mind.

According to a review of small-scale office rents in the Akihabara area, older buildings completed before 1985 command rents in the low JPY 13,000 per tsubo range, while newer buildings completed from 2020 onward achieve rents of around JPY 25,000 per tsubo. Given these market conditions, redevelopment could offer meaningful rental upside at this location, based on research conducted by the editorial team using estie market research data.

Key Facts

• Property Name: Saffron Building No. 2

• Seller: Totsu Tatemono Co., Ltd.

• Buyer: LUGEND Co., Ltd.

• Location: 1-3-5 Kanda Izumicho, Chiyoda-ku, Tokyo

• Nearest Station: Akihabara Station (JR Yamanote Line, JR Keihin-Tohoku Line, Tokyo Metro Hibiya Line), 2-minute walk

• Completion: January 1973

• Number of Floors: 5F

• Gross Floor Area: Approx. 55 tsubo (approx. 1,960 sq. ft.)