The building that has served as North Korea's de facto embassy in Tokyo is expected to be handed over to a real estate agent after years of wrangling over its sale, a move likely to deal a severe blow to operations of the pro-Pyongyang Korean group Chongryon that has occupied the property.

The Tokyo District Court gave permission Monday for the Tokyo headquarters of the General Association of Korean Residents in Japan, better known as Chongryon, to be sold to Kagawa-based real estate developer Marunaka Holdings Co. for ¥2.21 billion.

While Chongryon has already appealed Monday's court decision, a public safety agency source said the group presumably has an exit strategy and the court action is probably a step to buy time until its May general assembly.