Nippon REIT to Acquire Capsule Hotel Near Hakata Station for JPY 2.1 Billion
Nippon REIT Investment Corporation decided on July 28, 2026, to acquire Nine Hours Hakata Station, a capsule hotel in Hakata-ekimae 3-chome, Hakata Ward, Fukuoka City. The seller is TU31 LLC. It plans to acquire the trust beneficiary interest for JPY 2.06 billion on the 31st of the same month.
The property is about a three-minute walk from Hakata Station on the JR lines and Fukuoka City Subway, and Fukuoka Airport Station is two stops and about five minutes away. Completed in August 2020, the nine-story building has retail sections on the first and second floors and a capsule hotel on the third through ninth floors. The hotel has 208 capsules in total on gender-separated floors, with a lounge, lockers, and shower booths. The hotel operator is Nine Hours, and the occupancy rate was 100% as of the end of June 2026.
The land is held under a fixed-term business sublease leasehold, making it a leasehold property with the building as trust assets. The planned acquisition price is approximately 39% below the appraisal value of JPY 3.4 billion, and the yield calculated based on appraisal NOI is about 8.9%. Variable rent linked to operating profit is adopted for the hotel-section rent, and Nippon REIT valued the room for income growth in an inflationary phase in addition to lodging demand around Hakata Station.
The investment corporation is advancing the sale of aging properties and the acquisition of relatively new properties expected to see income growth. Since 2025, it has acquired hotels in Akihabara, Hakodate, and Osaka Hommachi, continuing to add lodging facilities (see related article: Nippon REIT Investment Corporation to Acquire Five Properties for JPY 17.3 Billion, Including Two Hotels and Urban Industrial Asset, Japan REIT Acquires Four Assets, Including Two Hotels, for JPY 15.418 Billion). Following this acquisition, the portfolio will comprise 107 properties with a total acquisition price of JPY 275.488 billion.
Key Facts
- Hotel Name: Nine Hours Hakata Station
- Buyer: Nippon REIT Investment Corporation
- Seller: TU31 LLC
- Transaction Form: Trust beneficiary interest in real estate
- Contract Date: July 28, 2026
- Planned Acquisition Date: July 31, 2026
- Planned Acquisition Price: JPY 2.06 billion
- Appraisal Value: JPY 3.4 billion (June 1, 2026, Daiwa Real Estate Appraisal Co., Ltd.)
- Appraisal NOI: JPY 183.2 million
- Appraisal NOI Yield: approximately 8.9%
- Location: 3-22-2 Hakata-ekimae, Hakata Ward, Fukuoka City, Fukuoka
- Nearest Station: About a three-minute walk from Hakata Station on the JR lines and Fukuoka City Subway
- Completion: August 2020
- Number of Floors: 9F (steel-frame construction)
- Use: Hotel and retail
- Area: Site area of approximately 109 tsubo (approx. 3,900 sq. ft.) / Gross Floor Area of approximately 515 tsubo (approx. 18,300 sq. ft.) / Leasable area of approximately 512 tsubo (approx. 18,200 sq. ft.)
- Number of Guest Rooms: 208 capsules
- Number of Tenants: 3
- Hotel Operator: Nine Hours Inc.
- Occupancy: 100.0% (as of the end of June 2026)
- Master Lease Company: Nippon REIT Investment Corporation
