The amendment of the Investment Trust Act enables the creation of J-REITs.

Since REITs (Real Estate Investment Trust) originated in the United States in 1960, various countries have introduced them. In Japan, it became possible to form REITs in 2000 with the amendment to the Act on Investment Trusts and Investment Corporations which enabled investment trusts to invest in real estate.

Tokyo Stock Exchange (TSE) creates the J-REIT market.

With the amendment to the Act on Investment Trusts and Investment Corporations, the TSE developed the rules for creating the J-REIT market. With the TSE’s preparation, the environment was ready for J-REITs to be listed on the TSE.

First J-REIT files for civil rehabilitation proceedings and is delisted.

October 9, 2008, New City Residence Investment Corporation filed for civil rehabilitation proceedings. The main reason was not a problem in the real estate leasing business, but rather a cash management problem, such as procurement of funds for settlement of assets to be acquired and repayment of loans. Learning from these cases, guidelines were established that call for careful handling of recent purchase agreements, known as forward commitments, while also taking into consideration the financial impact and other factors, thereby improving the soundness of the J-REIT market.

ARES holds the 1st J-REITs Fair for Individual Investors.

Since the awareness of J-REITs among individual investors is lower than that of other financial products, we hosted this event with the aim of promoting the attractiveness of J-REITs, which allow investors to start real estate investment with a small amount of money and offer stable dividends. Since then, the event has been held annually until 2019, and has been well received as an opportunity for individual investors to obtain information on J-REITs in one place.

First J-REIT merger completed.

On February 1, 2010, Tokyo Growth REIT Investment Corporation and LCP Investment Corporation merged and changed its name to Invincible Investment Corporation. Starting with this merger, a total of seven mergers took place in 2010.

BOJ establishes Asset Purchase Fund to purchase a variety of assets including ETFs and J-REITs.

In order to further promote monetary easing, the BOJ decided to establish a fund to purchase a variety of financial assets, etc., with the aim of encouraging a decline in market interest rates and a reduction in various risk premiums, and J-REITs were also included in the scope of purchases.

J-REIT market capitalization reaches 10 trillion yen.

On November 28, 2014, the market capitalization of J-REITs exceeded 10 trillion yen for the first time. ARES had one goal of a market size of 10 trillion yen, as expanding the size of the market is considered important for expanding the investor base and stabilizing the market.

The Bank of Tokyo-Mitsubishi UFJ securitized loan claims to J-REITs.

For the first time, BTMU has securitized the credit risk of loan receivables for J-REITs and sold them to institutional investors. This is a new move that will provide a new product to investors who are experiencing investment difficulties due to ultra-low interest rates, and will also lead to a reduction of loan risk for the bank. Subsequently, Sumitomo Mitsui Trust Bank, Limited has also undertaken a similar securitization initiative.

Japan Retail Fund Investment Corporation issues its first green bonds as a J-REIT.

In recent years, environmental, social, and governance (ESG) issues have been attracting increasing attention in the global capital markets, and ESG-related initiatives are expanding in the J-REIT market as well. Green bonds and green loans are financing methods in which funds are used for environmentally friendly projects, and were used for the first time in J-REITs in 2018.

The TSE REIT index falls sharply due to the turmoil in the financial capital market triggered by the spread of COVID-19 infections.

The TSE REIT index hits the year's high of 2,250.65 points on February 20, but falls to 1,145.53 points on March 19.

FTSE Russell begins to include J-REITs in the FTSE Global Equity Index Series (GEIS).

The Inclusion of J-REITs into the FTSE Global Equity Index Series begins in September 2020 and will be implemented in four tranches by June 2021. The inclusion is expected to expand the range of investors of J-REITs.

First hostile takeover bid for a J-REIT is launched.

Starwood Capital Group launched a takeover bid (TOB) to take Invesco Office J-REIT Investment Corporation private. This was the first hostile TOB conducted without the approval of a J-REIT, but the TOB failed because the number of investment units tendered did not meet the minimum number of units to be purchased.

Bank of Japan (BOJ) revises its Yield Curve Control (YCC) policy.

The Bank of Japan decided to revise its yield curve control (YCC) policy at its July 28 Monetary Policy Meeting, raising the de facto ceiling on long-term interest rates from 0.5% to 1.0%. Furthermore, in October 2023, the BOJ revised the YCC again, allowing long-term interest rates to remain above 1% to a certain degree.

First U.S. real estate investment by a J-REIT

Sekisui House REIT, Inc. acquired a multi-family residential building in Seattle, U.S. This was the first investment in U.S. real estate by a J-REIT, and the first overseas real estate investment itself in about six years.

J-REITs' buybacks hit record high

In 2024, a total of 22 J-REITs resolved to repurchase their own investment units, and a record 100 billion yen or more was allocated for such repurchases.