Under the management policy, “Provision of a safe and comfortable offices and living spaces, thereby contributing to people and the city,” the Heiwa Real Estate Group strives to achieve sustainable growth through initiatives oriented toward the Groups diverse stakeholders.
Heiwa Real Estate Co., Ltd., was originally established as the owner of stock exchange buildings in cities across Japan, including Tokyo, Osaka, and Nagoya. By operating and maintaining the facilities that house the countrys financial infrastructure, the Group has built up relations of trust with its building tenants, business partners, and the local communities it serves. It has also redeveloped its stock exchange buildings in Osaka and Nagoya after gaining the cooperation of various stakeholders, thereby contributing to the revitalization of those cities as a member of the community.
Tokyos Nihonbashi Kabutocho and Kayabacho district, where the Group was founded, developed as the home of Japans securities industry. Later, however, as advancements in information and communications technologies transformed society, the district changed dramatically, with trading floors shutting down and securities firms relocating. Furthermore, residents of the district increasingly hoped for its revitalization and called for a redevelopment plan that would modernize the area in line with changes in the market and society at large.
Amid those growing expectations, the Tokyo metropolitan government announced its plan to create a financial hub along Eitai-dori Avenue, a major thoroughfare extending from the Otemachi district through to the Nihonbashi and Nihonbashi Kabutocho districts, as part of its “Global Financial City: Tokyo” Vision. Against this backdrop, Heiwa Real Estate has been drawing on Nihonbashi Kabutochos unique advantages that come with hosting the Tokyo Stock Exchange to promote urban development under a concept of establishing facilities with financially beneficial functions. Those functions include facilitating dialogue and interaction between investors and corporations, and supporting the development of financial venture companies, such as asset management start-ups. By carrying out this initiative over the medium and long terms, the Group will play a key role in realizing the Tokyo metropolitan governments vision in the Nihonbashi Kabutocho and Kayabacho area in the future. Over the course of this urban redevelopment, we will also work to equip the district with disaster prevention capabilities and enhance its environmental performance.
Implementing Our Medium- to Long-Term Management Plan: Over the NEXT DECADE with the Aim of Continuously Raising Corporate Value
To reach the Groups next stage under its slogan of “Aiming to be a company that contributes to revitalizing areas” we established a new medium- to long-term management plan in April 2014. Named “Over the NEXT DECADE,” the plan extends 10 years into the future and lays out our core strategies for the Nihonbashi Kabutocho and Kayabacho Revitalization Project.
We are now in the three years of Phase II, extending from fiscal 2017 to fiscal 2019 (ending March 31, 2020). Were aiming to continuously increase corporate value by building a base for business growth during this phase by making steady progress in the revitalization project and strengthening of the Building Leasing Business. We plan to build a base for business growth in place over this three-year period so that the Group can achieve its target of ¥10 billion in consolidated operating income by fiscal 2023.
We will also step up employee training to ensure that we have the necessary human resources capabilities for successfully seeing the plan through to its completion.
By making steady progress in all of these endeavors, Heiwa Real Estate, as the Group that contributes to revitalizing areas, it works with to overcome the challenges they face as a company. Management is committed to meeting the expectations of all stakeholders and ensuring that the Group attains sustainable growth going forward. On behalf of management, I look forward to the ongoing support of the Groups stakeholders.
Representative Director and President