Japan’s Sapporo Holdings has agreed to sell its real estate business to global private equity firm KKR and Asia-based alternative investment firm PAG, the companies said in a joint statement on Wednesday.

Sapporo said the enterprise value of the transaction, including debt, stands at 477 billion yen, or about $3 billion. The real estate portfolio includes landmark assets such as Yebisu Garden Place in Tokyo, a major tourist destination that houses the Yebisu Brewery along with premium dining and shopping facilities.

The group, best known for its beer brewing business, said the divestment will allow it to concentrate management resources on its core operations. Proceeds from the sale will be used to strengthen its alcoholic beverages business and support investments in other growth areas.

“Sapporo Holdings will focus on and further strengthen its alcoholic beverages business, where it has competitive advantages,” the company said. It added that funds from the transaction will also be reinvested to enhance customer engagement and expand offerings, including healthier beverage options.

Following the announcement, Sapporo’s shares closed 3.7 per cent higher, while KKR shares were marginally lower in after-hours trading.

Hiro Hirano, chief executive of KKR Japan, said the firm was pleased to partner with PAG to support Sapporo’s next phase of growth. He added that KKR would bring its global network, investment experience and operational expertise across development, operations and hospitality to the collaboration.