Marubeni Launches Multifamily Residential Value-Add Investment Strategy in the United States

Dec. 08, 2023
Marubeni Corporation

Marubeni Corporation (hereinafter, “Marubeni”), through Marubeni America Corporation, has launched a value-add multifamily investment strategy* in the United States and has acquired its first property (hereinafter, the “Property”) in the state of Texas (hereinafter, the “Project”).

Marubeni has built a robust track record in the real estate industry over the past 60 years through development activities in Japan and overseas, as well as through the management of J-REITs and private funds (current total of assets under management approximately 1.1 trillion yen). Since 2021, Marubeni has been providing Japanese investors, such as business entities and asset management companies, with one-stop asset management services, including those for the acquisition and operation of multifamily residential properties in the U.S. Its total assets under management in the U.S. have grown to over 35 billion yen over the course of two years.

Marubeni intends to grow its U.S. asset management business and expand its pipeline of properties through the Project as well as through future undertakings, with these activities positioned to provide quality investment opportunities to our investors. By leveraging our experience and knowledge, Marubeni plans to establish a U.S. multifamily fund in the next few years.

Property exterior Property exterior

Exclusive area Exclusive area

The Project involved the acquisition by Marubeni of the 248-unit multifamily Property, which is well-located close to major employment centers such as medical centers in the Dallas-Fort Worth metropolitan area, one of the fastest growing cities in the entire country. Marubeni plans to improve the landscaping, common areas, unit interiors, and property management statues in order to increase the value of the Property and to enhance the community experience of residents and their families. Strong demand for units in the Property is expected among unmarried individuals as well as families working nearby or in the city center.

*A business that increases the value of real estate by improving the profitability of existing buildings through renovation, soft-aspect upgrades (including to management), and capital earning gains at the time of sale. This business is also attracting attention as an environmentally friendly approach due to its effect of reducing CO2 emissions and waste from rebuilding by renovating and continuing to use existing buildings.