Real estate tokenization with Marubeni, MUTB and SBI Securities

Marubeni will collaborate on the Security Token Offering (STO) and operation of security tokens for rental housing located along the Yamanote Line with Mitsubishi UFJ Trust and Banking (MUTB) and SBI Securities, with Marubeni’s wholly-owned subsidiary Marubeni Asset Management (MAM) serving as asset manager under the STO.

The Collaboration involves the securitization of a small lot of top-quality urban apartment buildings developed by Marubeni Real Estate Development, a wholly-owned subsidiary of Marubeni, and located within one minute’s walk of Komagome Station on the JR Yamanote Line. By utilizing “Progmat”, a platform for issuance and management of various digital assets provided by MUTB, the security token “MF Share Komagome Residence (Restricted Transfer)” will be issued. This will enable small investments in real estate, thus simplifying a procedure which has traditionally been associated with significant red tape.

At the end of March, MUTB and Progmat had also announced a partnership with Soramitsu and Datachain to enable stablecoin interoperability.

“MF Share Komagome Residence (Restricted Transfer)” is the first project in which MAM will be entrusted with asset management services for a real estate fund structured with security tokens, and Marubeni will make a partial investment as the shareholders of MAM.

The security tokens will be issued by SBI Securities, which holds a Financial Instruments Business Operator under the Financial Instruments and Exchange Act.

Marubeni has expanded its assets under management in the real estate asset management business, both of listed and private real estate investment trusts (REITs), to over JPY 1trn, and to approximately JPY 150bn in private funds (as of April 30, 2023). Marubeni will continue to provide attractive real estate financial products and excellent investment opportunities that meet investor needs, based on the sustainable growth of our listed and private REITs, and utilizing know-how accumulated through development, management, and financial businesses involving real estate.

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