Recently, ESG investment has been expanding worldwide, particularly among major institutional investors. ESG investment refers to an investment method in which consideration is given to important indicators of whether investment target companies recognize three factors, namely, the environment, society and government, as significant in terms of management and implement corporate management (ESG management) accordingly. As part of its CSR initiatives, the Group has been enhancing corporate governance and promoting the revitalization and development of real estate with an eye on the reduction of environmental loads. With expectations for ESG increasing on a global basis, the Group has established the Tosei Group ESG Policy and the ESG Action Guidelines to reintegrate activities that it has undertaken so far as ESG management and facilitate the further development of such activities.

The Tosei Group ESG Policy and The Tosei Group ESG Action Guidelines

The Tosei Group ESG Policy

The Tosei Group has a mission of creating new value and inspiration in all aspects of real estate as a global-minded group of seasoned professionals. It regards its commitment to the Environment, Society and Governance as a priority management challenge. It will seriously address the social issues associated with real estate to contribute to society and achieve its own continuous growth.

The Tosei Group ESG Action Guidelines

1. Carry out business activities that achieve sound growth

We will respond swiftly and appropriately to changes in business circumstances and continue business activities that will ensure sound growth to meet our social responsibility to all stakeholders. We will make concerted efforts to strengthen our structure for enhancing corporate governance and building an internal control system.

2. Comply with laws and regulations

We will not only comply with laws and regulations relating to the environment, society and corporate governance, but we will also provide internal training aimed at improving knowledge and promoting understanding, and we will carry out activities for increasing outsiders’ awareness.

3. Take actions that increase the value of real estate

We will take actions toward resolving a range of issues involved in real estate and increasing its added value with a view to making effective use of real estate and energizing local communities in all our business activities.

4. Carry out business activities with environmental considerations

With the aspiration of building a low-carbon society, we will introduce measures that increase the energy efficiency of real estate owned. We will work to reduce water consumption and waste emissions and implement reduce, reuse and recycle activities in a positive effort towards building a recycling-oriented society.

5. Contribute to tenants, locals and communities through real estate owned

In terms of our aim of practicing actions in accordance with these action guidelines, we will work to collaborate with corporate tenants of real estate owned, business partners such as property management firms and occupants of residential real estate to establish harmony with the local people and communities.

6. Increase customer satisfaction

We will strive to offer products and services based on safety and reassurance and sincerely carry out business activities consistently from customers’ standpoints in an effort to increase customer satisfaction.

7.   Increase employee satisfaction

We will define personnel as an essential part of our business and continue developing seasoned professionals. We will create a positive corporate culture in which diverse personnel with different backgrounds respect one another and work with a focus on teamwork in an effort to boost employee satisfaction.

8. Disclose ESG information

We will disclose our ESG targets, monitor the state of actions on a regular basis and make their results known to stakeholders on our website and by other means.

ESG promotion system

The Group carries out deliberations, decision-making and other responsibilities related to policies and action plans on ESG through ESG promotion meetings. The members consist of Executive Directors decided by the Board of Directors. Results of deliberations are reported to the Board of Directors and reflected in management plans and business activities. In addition, there are ESG project teams or subordinate organizations comprised staff members of respective departments that implement action plans and occasionally submit relevant feedback.


Establishment of targets in the environmental area

The Group is working on achieving the following reduction targets.

Targets for energy-saving and greenhouse gas emission reductions

Long-term targets Decrease energy consumption and greenhouse gas emissions by 5%, respectively, in terms of basic units in five years
Short-term targets Decrease energy consumption and greenhouse gas emissions by 1%, respectively, in terms of basic units in one year
Target properties Fixed assets owned by the Company

Water-saving targets

Long-term targets Reduce water consumption by 2.5% in five years
Short-term targets Reduce water consumption by 0.5% in one year
Target properties Fixed assets owned by the Company

Targets for waste generation reductions

Long-term targets Reduce waste generation by 2.5% in five years
Short-term targets Reduce waste generation by 0.5% in one year
Target properties Fixed assets owned by the Company