Graywood Developments and Japan’s Hankyu Hanshin Properties (HHP) have formed a strategic partnership to develop multi-residential projects in the Greater Toronto Area.

The collaboration marks HHP’s debut in Canada, expanding the company’s network of global partnerships.

The first venture under this partnership is Claystone, a boutique residential project located in Bronte Village in Oakville, Ont.

The seven-storey building is set to launch sales in 2025, with unit deliveries planned for 2028.

“This collaboration represents a significant milestone for both companies, and we are confident that our combined expertise will deliver an exceptional living experience for future residents of Claystone,” said Stephen Price, Toronto-based Graywood’s president and CEO. “We look forward to completing more joint-venture projects with our new partner.”

Graywood Developments will oversee the development, construction, and sales for Claystone.

“We are excited to embark on this journey with Graywood,” said Masahiko Toda, HHP’s director of overseas business headquarters. “Claystone is a testament to our shared vision of creating outstanding residential communities. We look forward to the success of this venture and to exploring more opportunities together in the future.”

Colliers’ Canadian capital markets group and Colliers Japan advised Graywood and HHP on a capital raise tied to Claystone. Johann Rodrigues, senior vice-president of capital markets for Colliers, said foreign capital’s interest in Canadian real estate is at an all-time high.

“We expect HHP’s successful entry into Canada with Graywood will lead to new sources of Japanese and other international capital looking at Canada in 2025 and beyond,” said Rodrigues, who is based in Toronto.

Privately owned Graywood is known for its expertise in residential and mixed-use projects. The firm currently manages a portfolio valued at $5.8 billion, with 16 active developments comprising 7,300 residential units.

HHP has operated in Japan for more than a century. The company has developed about 67,000 residential units globally since 2015.

Photo: CNW Group/Graywood Developments