Japan property shares fell to a six-month low after developer Anabuki Construction Inc. filed for bankruptcy with 140 billion yen ($1.58bn) in debt, the nation’s fifth-largest corporate failure this year.
The Topix Real Estate Index slumped 2% to 696.27, the lowest close since 1 May. The broader Topix index gained 0.5%.
Japan’s worst recession in 50 years has left the country with a glut of unsold homes as buyers faced with job losses and wage cuts shy away from purchases. Closely held Anabuki filed for protection from creditors yesterday, saying its condominium business was struggling.