Indon tycoon Bachtiar Karim's family office Invictus Developments buys lyf Ginza Tokyo for $93 mil

Invictus Developments, the Singapore-based family office of Indonesian palm oil tycoon Bachtiar Karim, acquired lyf Ginza Tokyo for JPY10.5 billion (about $93.02 million) on October 4. JLL brokered the deal. It marks the first acquisition in Japan by the property group headed by Karim's son, Chayadi, who founded Invictus Developments in 2018. Since then, the real estate investment firm has over $500 million worth of assets under management, primarily in Singapore and Australia, namely Sydney and Brisbane. Read also: Will shophouse transactions pick up in 2H2024? Advertisement Advertisement "lyf Ginza Tokyo marks our inaugural acquisition in Japan," says Chayadi Karim, principal of Invictus Developments. "We anticipate this will be the first of many hotel acquisitions in Japan over the coming years. We remain optimistic about the Japanese hospitality market, driven by robust tourism growth and its status as a premier destination for all travellers." Invictus acquired lyf Ginza Tokyo from Ascott Serviced Residence Global Fund, a private lodging fund under global real asset manager CapitaLand Investment (CLI). A co-living asset, the 140-room lyf Ginza Tokyo opened in November 2023. It will continue to be managed by The Ascott Limited, CLI's wholly-owned lodging business unit. Ascott Serviced Residence Global Fund is Ascott's private equity fund with Qatar Investment Authority, and it acquired the property in August 2022 before refurbishing it. "The divestment of lyf Ginza Tokyo marks our first deal with Invictus Developments," commented Mak Hoe Kit, managing director of lodging private equity funds, CapitaLand Investment. "With its strong tourism sector, weak currency, and relatively low borrowing costs, Japan is an ideal investment destination for foreign investors," remarks Nihat Ercan, JLL’s CEO for Asia Pacific. In Singapore, Invictus Developments acquired the 143-room The Standard, Singapore in 2019, which is scheduled to open by 4Q2024. It also acquired a row of nine shophouses along Desker Road and Rowell Road sometime in 2021-2022, which it has renamed The Rochor Collection. In 2022, Invictus Developments snapped up House of Tan Yeok Nee, gazetted a national monument and a corner building at 6 Hong Kong Street, which will be converted into a hotel. In 2023, it acquired the carpark of Bukit Timah Plaza, followed by the carpark of Bukit Timah Shopping Centre in the middle of 2024. In Australia, properties include heritage boutique hotels acquired last year, such as the 59-room Harbour Rocks, the 69-room The Old Clare Hotel in Sydney, and The Inchcolm, a 50-room boutique hotel in Brisbane. Last year, Invictus also acquired a 132-unit Quest Woolloongabba apartment block in Brisbane and the former Bank of China headquarters in Sydney, which it intends to convert into a 152-room hotel. Read also: Shophouse sales value up 62% q-o-q in 1Q2024: PropNex Research Advertisement Advertisement Invictus will continue to focus on hospitality investments in gateway markets across the Asia Pacific and expand its portfolio of "boutique, lifestyle, and upper upscale hotels in Singapore, Australia, and Japan", says Karim.