A consortium led by Mitsui Fudosan Co. on Monday made a successful bid for a vacant lot in Roppongi, central Tokyo, where Defense Agency headquarters once stood, the Finance Ministry said.
The ministry did not reveal the contract price, but analysts estimated it at between 100 billion yen and 200 billion yen.
The consortium, consisting of 10 companies, plans to construct office buildings and condominiums on what is considered a prime piece of real estate in Minato Ward.
Mitsui Fudosan and its partners will set up a special-purpose company to alleviate the management risks in promoting the site's redevelopment, which is likely to take more than seven years to complete. The consortium will also securitize its assets.
The project is expected to become a model for a large-scale development, analysts said.
The vacant 78,000-sq.-meter lot was one of the largest pieces of government-owned land in central Tokyo. Four groups consisting of 16 companies in all participated in the bidding, the ministry said.