SINGAPORE (Sept 21): GIC, Singapore’s sovereign wealth fund, is entering into a joint venture with Invincible Investment Corporation, a public hotel and residential J-REIT, to acquire Sheraton Grande Tokyo Bay Hotel for JPY100 billion ($1.2 billion), with GIC having the majority stake of 51%.

Built in 1988, Sheraton Grande Tokyo Bay Hotel is a 1,016-room hotel which includes a 175-room Annex Tower opened in December 2016, located adjacent to Tokyo Disney Resort (TDR) and its largest “Official Hotel”, out of six such hotels.

Since its establishment in 1984, TDR has built a proven track record of growth, attracting over 30 million Park visitors annually in recent years.

Oriental Land Co., the operator of TDR, announced plans to add several new attractions at Tokyo Disneyland and Tokyo DisneySea, including a large-scale investment project of JPY75 billion to open new attractions scheduled in the spring of 2020 in Tokyo Disneyland.

Lee Kok Sun, Chief Investment Officer, GIC Real Estate, says, “Sheraton Grande Tokyo Bay Hotel, with its close proximity to Tokyo Disney Resort, has shown strong and resilient cash-flows. As a long-term value investor, we are confident in the continued growth and demand in Japan. In partnership with Invincible Investment Corporation, we will seek to enhance the Sheraton Grande Tokyo Bay Hotel and support it in its next phase of growth. We have been investing in Japan for more than 20 years and are continually on the lookout for quality assets with stable cash-flow potential.”

This story, written by PC Lee, first appeared on The Edge Singapore.