Basic Policies

  • Investment in Residential Properties
  • Utilization of The TOKYU FUDOSAN HOLDINGS Group

Compatibility of "Stable earnings" and "Emphasizing growth"

We invest primarily in rental residences, which generate stable earnings.

Features of rental residences

Rental residences are generally not susceptible to changes in economic conditions and asset value, and there is downward rigidity in rents. The value of rental contracts is small, and there is dispersion in contract periods. Therefore, the risk of a rapid decline in profitability due to a sharp increase in vacancies or sharp falls in rents is relatively low.

We invest in rental residences, mainly "in the Tokyo metropolitan area", "for singles and small families". These residences are likely to receive stronger demand as the number of households increases with changes in the social and economic environment.

Number of households

The number of households is expected to increase in the Tokyo area and the Tokyo metropolitan area. Due to changes in the social structure associated with the declining birth rate and the tendency to marry later, the number of singles and small families, which we target, is expected to continue to rise.

Policy in portfolio building

Investment share of "Rental Residences" which generate stable earnings over 80%

  Investment targets Investment share (based on acquisition price)
Residential Properties Rental Residences 80% - 100%
Operational Rental Residences 0% - 20%

We will also invest in "Operational Rental Residences" with services likely to see rising demand, including senior residences, serviced apartments, and student apartments.

Investment share of  "Central Tokyo", "Sub-central Tokyo", and "Tokyo Metropolitan Area" over 80%

  Investment areas Investment share
(based on acquisition price)
Central Tokyo Chiyoda, Chuo, Minato, Shinjuku and Shibuya 80% - 100%
Sub-central Tokyo Other 18 wards of Tokyo
Tokyo Metropolitan Area Areas where demand for rental residences is strong in the Tokyo metropolitan area except for the areas above.
Other Major Cities Areas where there is a concentration of residences, including ordinance-designated cities, except for the areas above 0% - 20%