Daiwa Plans $690 Million Real Estate Fund as Japan Market Booms

Daiwa Securities Group Inc. plans to launch a real estate fund with two partners, tapping investor demand for a piece of Japan’s booming property market.

The Japanese brokerage will collaborate with Osaka-based developer Samty Holdings Co., and fund manager Hillhouse Investment, according to Daiwa’s Masatsugu Oishi. It aims to raise ¥100 billion ($690 million) via a private fund for domestic and overseas institutions, said Oishi, who is general manager of asset management strategy.

Daiwa will target Japanese rental housing and hotels, assets that tend to be better insulated from inflation compared with other sectors, at a time ...