Wall Street’s biggest real estate investors, Morgan Stanley and Goldman Sachs Group Inc. are among global companies investing more than $7 billion into Japan since property prices are recovering from a 15-year slide.

Morgan Stanley Real Estate spent $2.5 billion in Japan in the past six weeks to purchase properties including closely held Shuwa Corp., the owner of 16 office buildings in Tokyo, according to the person familiar with the transactions. Goldman this month purchased a lending business from UFJ Holdings Inc., Japan’s fourth-largest bank, receiving 45 billion yen of loans backed by gaming parlors, short- stay hotels and golf courses, according to Bloomberg.

Commercial property prices jumped in Tokyo’s five main business districts in 2004 for the first time since Japan’s economy declined 15 years ago. Growing rents and record-low interest rates that reduce funding costs may give investors greater returns than in other big cities such as London and New York.

``Foreign investors have been buying more real estate assets in Japan because of low borrowing costs,’’ said in an interview with Bloomberg Eric Perraudin, who heads Tokyo-based Japan Management Consulting Partners. ``Buyers like Morgan Stanley and Goldman Sachs are using their connections with Japanese banks to buy assets with good cash flow and lower risks.’’

Japan’s nationwide banks, led by Mizuho Financial Group Inc., suffered more than $853 billion losses from bad loans since 1993, according to the data provided by the nation’s Financial Services Agency. Many loans were supported by real estate, increasing the possibility of assets sale since prices grew.