Supporting Life Sciences Through Real Estate
KJRM’s Journey at Shonan Health Innovation Park
In September 2020, IIF acquired “IIF Shonan Health Innovation Park,” one of Japan’s largest life science facilities. Guided by the philosophy of Industrial & Infrastructure Fund Investment Corporation (IIF)—“to support Japan’s industrial activities from a real estate perspective”—we have continuously embraced challenges, pioneering asset classes through unique CRE proposals. As a result, the facility is evolving into a one-of-a-kind life science hub unparalleled even on a global scale.
CHAPTER 01Start Operations of One of Japan’s Largest Life Science Facilities
“Shonan Health Innovation Park” (commonly known as “Shonan HIP”), completed in 2011, was formerly utilized by Takeda Pharmaceutical Company Limited (“Takeda”) as the Shonan Research Center, Japan’s first privately-owned in-house research and development facility. In April 2018, with the aim of advancing drug discovery and pharmaceutical development in Japan, the site was opened to external parties as an open innovation facility.
With a total floor area of approximately 300,000 square meters—equivalent to about five Tokyo Domes—the facility features a 400-meter-long corridor, known as the “Broadway,” which connects five research wings. This corridor is long enough to accommodate a 16-car Shinkansen train in its entirety, making the facility one of the largest in Japan. As a single-site drug discovery research facility, it is counted among the leading life science hubs worldwide, alongside those in the United States and Singapore.
Through sale-and-leaseback transactions with Takeda in September 2020 and August 2021, IIF became the full owner of this facility, and, in collaboration with Takeda, has deepened its expertise in life sciences while operating the property. Despite the challenging circumstances of the COVID-19 pandemic in the years immediately following acquisition, under the mission of “building a globally open life science ecosystem,” Shonan iPark has transformed into a place where innovators from diverse fields gather—evolving from “original creation” to “co-creation.”
CHAPTER 02The First J-REIT Asset Manager to Participate in Life Science Operations
In April 2023, IIF, Takeda, and Mitsubishi Corporation jointly established “iPark Institute Co., Ltd.” (commonly known as “iPi”), the operating company of this facility. As the asset manager, we took part in its operations. This represented the first initiative in Japan to combine real estate expertise with drug discovery and pharmaceutical know-how, further accelerating research and development.
When first opened to external parties in 2018, the facility hosted approximately 20 tenant companies and 200 personnel. Today (2025), the site accommodates over 120 tenant companies, more than 60 corporate members utilizing its events and matching services, and over 2,500 workers. From major corporations to startups and academia, participants now cover a wide spectrum of fields—including pharmaceuticals, drug discovery, next-generation medicine, health sciences, cellular agriculture R&D, research and medical devices, AI, IoT, robotics business support, finance, venture capital, government agencies, insurance, and trading companies—making the facility an ever-evolving ecosystem.
CHAPTER 03Further Challenges Through a Change in Lease Structure
From the time IIF acquired this property, plans were in place to develop it as a hub for open innovation. In October 2025, the master lease agreement with Takeda was transitioned into a pass-through master lease structure, under which iPi now directly contracts with end tenants.
Aiming to build an ecosystem that enables true health innovation, staff with deep expertise in the life science industry pursue measures and services that align with researchers’ needs—both in terms of facilities and community.
In particular, community development has been a major focus. Alongside organizing venues for research exchange, iPi has emphasized fostering a culture where natural interaction between tenants gives rise to community organically. As a result, a collaborative and mutually supportive culture has developed, leveraging the specialties of each field. This, in turn, has driven new research collaborations and attracted an increasing number of tenant candidates eager to join the facility.
With the accumulation of diverse challengers of varying fields and scales, the cross-linkage between major pharmaceutical companies and startups, industry-academia consortiums, and shared challenges in regenerative and cell therapy, IIF has been providing support both on the real estate and operational fronts. By integrating real estate, operations, and ecosystem, the facility is generating value on a level far beyond that of a conventional “rental property.”
CHAPTER 04Expanding the Shonan HIP Model Across Japan and Beyond
Since acquiring the property, IIF has advanced initiatives including the establishment of an operating company and the transition to a pass-through lease structure. Now, the facility is entering a new phase that calls for further evolution.
With tenant demand outgrowing the capacity of existing buildings, new development plans for additional buildings on-site are underway. Other initiatives include: the Ministry of Health, Labour and Welfare’s adoption of the site as a Drug Discovery Cluster Campus project; redevelopment of the surrounding Shonan iPark area in conjunction with the new station slated to open in 2032; applying iPi’s operational know-how to other regions such as Kobe and the Kansai area; and attracting global enterprises. A wide range of new challenges are beginning.
Building on accumulated knowledge and expertise, KJRM will continue to take on new challenges in the life sciences sector, striving for further leaps forward that go beyond the realm of conventional real estate management.