Straits Trading Company, through its subsidiary Straits Real Estate, has acquired three freehold residential buildings in Central Osaka, Japan for ¥6.2 billion ($77.2 million).

This acquisition marks Straits Real Estate’s maiden entry into Japan’s residential market. Due diligence is underway, and expected to be completed by end of the month.

The freehold properties — Luxe Taisho, Luxe Shin Osaka and Luxe Dome Mae —comprise 396 apartment units with average sizes of 291 sq ft. Luxe Shin Osaka and Luxe Taisho were completed in 1Q2016, while Luxe Dome Mae was completed in 1Q2015.

The apartments are targeted at potential tenants such as mid-level professionals and young households. All three properties are close to full occupancy and are income-generating.

The acquisition of this portfolio represents Straits Real Estate’s initial investment as part of a broader strategic plan to acquire additional residential assets in Greater Osaka and Greater Tokyo.