Dentsu to sell former Ginza headquarters, expects gain of over $200 million

Dentsu has reportedly sold its former headquarters in Tokyo’s Ginza district, a move expected to generate a gain of more than $200 million, as the Japanese advertising group continues to streamline its assets.

The advertising group said its board has approved the sale of the Dentsu Ginza Building, a property in central Tokyo, as part of efforts to optimise capital allocation and simplify its business structure. The agency is said to have signed the transfer agreement on December 24, 2025.

The sale is expected to reduce costs linked to maintaining the ageing building, including repair expenses and fixed asset taxes, contributing to what the agency described as a simpler and more sustainable operating structure.

The building, located in Ginza’s 7-chome district, was completed in December 1933. The reinforced concrete structure includes two basement levels, eight floors above ground, a penthouse and a rooftop structure. It previously housed advertising organisations as well as the Yoshida Hideo Memorial Foundation and the Dentsu Scholarship Foundation, but is currently unused.

The agency did not disclose the transfer price or book value, citing a request from the buyer in the media report. However, it expects to record an estimated gain of about ¥30 billion (~Rs 17.26 billion) in the fiscal year ending 2026. The gain is projected to lift statutory operating profit by roughly ¥30 billion and statutory net profit attributable to owners of the parent by about ¥22 billion (~Rs 12.66 billion) under IFRS. The transaction is said not to affect its underlying operating or net profit.

The buyer has not been identified due to confidentiality agreements. The agency said there are no capital or personnel ties with the buyer and that the party is not considered a related entity.

The transfer and delivery of the property are scheduled for January 30, 2026. The agency said the financial impact will be reflected in its fiscal 2026 forecast, to be released alongside its full-year fiscal 2025 results in February 2026.

Media reports have said the sale is part of broader efforts by the agency to reassess its global footprint and strengthen its financial position through asset optimisation.