CapitaLand Ascott Trust ( CLAS ), a Singapore-headquartered lodging trust, has acquired three freehold rental housing properties in Southern Kanagawa, Greater Tokyo, Japan for 4.6 billion yen ( US$30 million ) from real estate investment firm Patience Capital Group.

The three operating properties – Lime Residence Hiratsuka West, Lime Residence Hiratsuka East and Live Casa Hiratsuka – were built between two and four years ago. The properties have an average occupancy of over 95% and average lease terms of about two years, providing stable income.

On a FY 2025 pro forma basis, the acquisition has a blended net operating income entry yield of 4.1% and distribution per stapled security ( DPS ) accretion of 0.2%. The acquisition was funded by yen-denominated debt.

Comments Serena Teo, chief executive officer of the CLAS manager: “The acquisition is in line with our strategy to strengthen CLAS’ presence in key markets while building a resilient portfolio anchored by stable and recurring income streams.

“It expands our living sector portfolio with prime rental housing, which is seeing high demand from the large and diverse working-age population in Greater Tokyo amid limited new supply. The three properties will benefit from strong corporate demand from nearby industrial areas and offer an idyllic coastal lifestyle that appeals to working professionals.”

The trust will continue to actively reconstitute and enhance its portfolio as it remains committed to delivering stable long-term returns to its stapled security holders, Teo adds.

Lime Residence Hiratsuka East in Kanagawa.

Portfolio allocation target

Following the acquisition, living assets will account for 17.5% of CLAS’ portfolio value. CLAS remains on track to achieve its medium-term portfolio allocation target of 25%-30% in the living sector and 70%-75% in hospitality assets.

The properties are situated along the Sagami Bay coastline in the southern part of Kanagawa, Japan’s second most populous prefecture. Lime Residence Hiratsuka West, comprising 115 units, was completed in 2023, Lime Residence Hiratsuka East, with 63 units, was completed in 2022, and Live Casa Hiratsuka, featuring 55 units, was completed in 2024.

CLAS boasts being the largest lodging trust in Asia-Pacific with an asset value of S$8.9 billion ( US$7.03 billion ) at the end of 2025. It invests primarily in income-producing real estate and real estate-related assets, which are used or predominantly used as serviced residences, rental housing properties, student accommodation, and other hospitality assets.

As at December 31 2025, its international portfolio comprises 103 properties with more than 18,000 units in 45 cities across 16 countries in Asia-Pacific, Europe, and the United States.