Growth Strategy

The foundation of the Industrial Infrastructure & Urban Development Division is our asset management business. We have established this business through many years of experience developing infrastructure, such as industrial parks and condominiums. In addition to these stable earnings foundations, we invest in new infrastructure for which we conduct appropriate risk management and portfolio management. Our business will not be limited to developing and selling lots, but we will also add new facilities and service functions that leverage the Group’s synergy to carry out our mission of improving people’s living standards.

One major project that symbolizes our endeavors to achieve this mission is Deltamas City, a comprehensive urban infrastructure development project in Indonesia. Through Deltamas City, we are working on the issue of how to expand Jakarta’s urban functions. Deltamas City is located on a vast extent of land with an area of 3,200ha—equivalent to nearly 50% of the area encircled by the Yamanote Line in Tokyo—where we are conducting integrated development not only of an industrial park, but also government institutions, educational facilities, commercial spaces, residences, and other facilities.

In recent years, we have taken advantage of the proximity between workplaces and residences to begin a community management program through which we are creating new facilities and services to address social issues and needs unique to the community. Some of these initiatives include inviting hospitals and Japanese schools, as well as our housing projects with Japanese partners within the city. We are also striving to establish this business model by adding shopping malls and other businesses to the project, while investing in new regions such as the Philippines.

For our domestic real estate business, we are expanding the scale and areas of business, while linking and creating cycles for our three functions: 1) development of and investment in housing and other projects, 2) asset management (real estate finance field), and 3) building facility management and lifestyle-related services.

We are also promoting expansion of the value chain using assets, through activities such as development and operation of town houses and rental housing.

Our J-REIT business already manages assets worth ¥250.0 billion, and we aim to increase this number to ¥300.0 billion in the medium- to long-term. When conducting asset replacement, we are able to utilize our engineering function to add value to buildings, thereby strengthening activities that are unique to our business as a general trading company.

Business models supporting value creation

Examples of Activities for Sustained Growths

Overseas Industrial Park Business

Contributing to the growth of the region through comprehensive urban infrastructure development, in addition to expanding the industrial park business

Comprehensive Living Support Business

Daycare management business to help address social issues such as the need for women’s active participation in the workplace and children waitlisted for daycare