Japan Hotel REIT to Acquire Hyatt Regency Tokyo for JPY 126 Billion in One of the Largest-Ever J-REIT Hotel Transactions
Japan Hotel REIT Investment Corp. will acquire the Hyatt Regency Tokyo in Nishi-Shinjuku, Tokyo, for JPY 126 billion on March 13, 2026. Based on the acquisition price, the transaction ranks among the largest hotel acquisitions ever completed by a J-REIT. The purchase price represents approximately 80.8% of the appraised value of JPY 156 billion, which the REIT views as an opportunity to acquire the asset at an attractive basis.
The property is a 28-story, five-basement, full-service hotel comprising 712 guest rooms. Originally completed in 1980 and now 46 years old, the hotel completed a large-scale renovation in July 2025 totaling JPY 9.4 billion, upgrading guest rooms, the lobby and restaurant facilities. The hotel also features 18 banquet halls and meeting rooms, serving a broad range of demand from leisure and corporate travelers to MICE events. In February 2025, the REIT also acquired the Hilton Fukuoka Sea Hawk for JPY 64.3 billion, underscoring its continued focus on large-scale full-service hotel investments.
With this acquisition, the Hyatt group will be added to the REIT’s roster of international brands. Hyatt is seen as particularly well positioned to capture inbound demand from North America and Europe, segments characterized by longer average stays and higher per-guest spending. International visitor spending in Japan reached a record JPY 9.5 trillion in 2025, while arrivals from Europe, the U.S. and Australia rose 22% year over year to 7.2 million. Travelers from Germany and France, among other European countries, average approximately 18 nights per stay and spend more than JPY 350,000 per person, highlighting the potential to capture high-value, long-stay demand.
Key Facts
Property Name: Hyatt Regency Tokyo
Buyer: Japan Hotel REIT Investment Corp.
Seller: GK Midtown Tokyo
Acquisition Price: JPY 126,000 million
Appraised Value: JPY 156,000 million
Capitalization Rate: 3.6%
Location: 2-7-2 Nishi-Shinjuku, Shinjuku-ku, Tokyo
Access: Approx. 1-minute walk from Tochomae Station (Toei Oedo Line); approx. 4-minute walk from Nishi-Shinjuku Station (Tokyo Metro Marunouchi Line); approx. 9-minute walk from JR Shinjuku Station
Completion: August 1980
Number of Floors: 28F / B5 (SRC structure)
Gross Floor Area: Approx. 21,728 tsubo (approx. 718,446 sq. ft.)
Total Keys: 712
Tenant: Nishi-Shinjuku Hotel & Resort Co., Ltd.
Lease Structure: Fixed rent (JPY 300 million per month) plus variable rent (linked to AGOP)