Message from the President

Our business is to provide solutions to people and housing related issues through our corporate philosophy: Creating New Value.

We would like to thank all of our stakeholders for their continued support. With a corporate philosophy of creating new value, we have been providing all kinds of values to the society through housing-related businesses since our establishment in 1973. The provision of studio type apartments equipped with furniture, home appliances, and Internet connectivity is the typical examples of our solutions. We have now grown to a scale where our sales exceeded JPY 400 billion. On the other hand, we are very sorry for the concern and inconvenience we have caused to our stakeholders since the revelation of the construction defects problem in 2018. We made compliance as the top priority, and put in place thorough measures to prevent recurrence of the problem and strengthened governance as the basis of our management.

In the current fiscal year ending March 31, 2025, we will pursue business activities based on the following four itemized management policy.

• Carry on construction defects management
• Strengthen profitability
• Advance sustainable management
• Prepare framework for mid- to long-term growth

We plan to restore the occupancy rate to 90% at the end of March 2025 through responding to the demand for the corporate customers' company housing and providing housing support to foreign nationals with specified skilled worker visa and international students. We apply the appropriate rent for individual apartments in order to maximize the profitability.
We will continue to focus on promoting DX, particularly the installation of smart locks in the managed properties, in order to differentiate ourselves from the competitors, improve customer convenience, and increase operational efficiency.
As for dealing with the construction defects, we will reinforce the structure for organizing repairs and accelerate the pace of repair works in order to complete repairing obvious defects by December 2024, and continue to carefully respond to concerns raised by owners, tenants, and related ministries and agencies.

Through the growth of our business, we will continue to solve issues related to people and housing, and aim to be a company that is needed by society. We look forward to your continued understanding and support of our operation in the future.

Bunya Miyao, President & CEO

May 2024