Japan Real Estate Insights by estie
Japan Real Estate Insights by estie

NTT Urban Development REIT Divests Stake in Kanagawa Science Park R&D Building

NTT Urban Development REIT Divests Stake in Kanagawa Science Park R&D Building

NTT Urban Development REIT announced on May 30, 2025, that it has agreed to sell its partial ownership interest in the Kanagawa Science Park R&D Building, a large-scale research and development facility located in Takatsu-ku, Kawasaki City, Kanagawa Prefecture. The asset will be transferred to a domestic buyer for JPY 5.21 billion, with closing scheduled for June 30, 2025.

Completed in 1989, the Kanagawa Science Park R&D Building is recognized as Japan’s first urban-type science park. It was originally developed as a hub to support industry–academia–government collaboration in research and development activities and remains a prominent complex in the region. The property is located approximately a 13-minute walk from both JR Musashi-Mizonokuchi Station (Nambu Line) and Tokyu Mizonokuchi Station (Den-en-toshi Line).

NTT Urban Development REIT held a 27% sectional ownership interest in the building. The REIT cited aging infrastructure, rising repair costs, and shifts in the broader real estate market as key considerations for the divestment, aiming to enhance the quality and stability of its overall portfolio. Despite long-term occupancy challenges—with rates historically below 90% over the past five years—occupancy had reached 97.7% as of April 2025.

The REIT had held the property for more than 20 years, having first acquired it in 2002. With this disposition, the fund continues to realign its portfolio toward higher-quality, income-generating assets.

Key Facts

  • Property Name: Kanagawa Science Park R&D Building

  • Buyer: Undisclosed (domestic corporation)

  • Seller: NTT Urban Development REIT Investment Corporation

  • Transaction Price: JPY 5.214 billion

  • Location: 3-2-1 Sakado, Takatsu-ku, Kawasaki-shi, Kanagawa

  • Nearest Stations: 13-min walk from JR Musashi-Mizonokuchi Station / Tokyu Den-en-toshi Line Mizonokuchi Station

  • Completion: July 1989

  • Number of Floors: 12F / B1

  • Gross Floor Area: approx. 25,259 tsubo (approx. 83,500 sq. ft.)