Japan Hotel REIT sold the Okinawa resort Beach Tower Okinawa (280 rooms) to Mihama Terroir TMK for 30.9 billion yen, with a closing date of July 31. Proceeds will fund the new acquisition and boost cash reserves.\n\nJapan Hotel REIT acquired the Osaka hotel Candeo Hotels Osaka Namba (496 rooms) from GK Hikari Hotel for 14.32 billion yen, closing Aug. 3. The combined value of the two deals totals 45.22 billion yen ($278.37 million).

The Okinawa resort was purchased in March 2004 for about 8.17 billion yen; the 2026 sale represents an approximate 278% increase in transaction value.\n\nThe company said the Okinawa sale is part of a capital‑recycling strategy, noting the fixed‑term lease expires June 2027 and the property offers upside via rebranding or a new operator. The Osaka hotel, built in 2017, generates stable rent income under a fixed‑rent lease, and its loan‑to‑value ratio is expected to fall from 36 from 36.3% to 35.5%, enhancing borrowing capacity. Candeo Hospitality Management remains the operator.\n\nJapan Hotel REIT now owns 52 hotels in Japan, totaling 15,05.3% to 35.5%, increasing financial flexibility.\n\nJapan Hotel REIT now holds 52 hotels across Japan, comprising 15,058 rooms with an estimated portfolio value of 648.1 billion yen.

Holdings include the Hilton Fukuoka Sea Hawk, Hilton Tokyo Bay, Hyatt Regency Tokyo, Oriental Hotel Tokyo Bay, Hilton Nagoya, Okinawa Harborview Hotel, and Mercure Sapporo.