Notice Regarding Progress in Acquisitions in the Current Fiscal Year
【To whom it may concern】
March 11, 2014
Tosei Corporation
Notice Regarding Progress in Acquisitions in the Current Fiscal Year
TOKYO, JAPAN, March 11, 2014-Tosei Corporation (President and CEO: Yamaguchi Seiichiro Securities Code: 8923), hereafter denoted by the Company", announces that the aggregate amount of the properties it acquired for sale during the period from the beginning of the current fiscal year up until today totaled ¥26 billion in terms of expected revenue.
The Company concluded a total ¥26 billion* worth purchase agreements, already achieving more than a half of its annual acquisition target.
- *1Calculated based on the properties’ expected revenue
Backed by the recovering real estate market, Tosei Group has been concentrating on the acquisition of properties for sale, which will be the source of its future income. It targets to acquire a total ¥50 billion worth properties in expected revenue during the fiscal year ending November 2014 (FY2014), aiming for an increase of 56% from the previous year.
The total expected revenue of the properties for sale acquired by the Company during the first three months of the current fiscal year came to ¥26 billion.
The amount includes income-generating office and apartment buildings as well as land lots for detached houses and is already more than a half of its annual acquisition target.
Status of Acquisitions
Type of property | No. of acquired properties | Expected revenue | |
---|---|---|---|
Revitalization Business | Income-generating office buildings | 8 | ¥14.6 billionllion |
Income-generating apartment buildings | 7 | ¥5.4 billionllion | |
Land lots | 1 | ¥200 millionllion | |
Development Business | Land lots for detached house projects | 6 | ¥2.4 billionllion |
Land lots for retail shop projects | 1 | ¥3.3 billionllion | |
OTAL | 23 | * ¥26 billionllion |
- *The total amount of ¥26 billion includes the contracted properties scheduled to be handed over in the current fiscal year, amounting to ¥10.9 billion.
Future Operations of the Company
Tosei mainly operates in Tokyo area, but with its current acceleration in acquisitions, it has been stepping up its investment targets to also include suburban income-generating properties in prime location like the area around stations, while closely looking at the area’s characteristics and the property’s occupancy ratio, etc.
The Company will continuously work to acquire more properties for sale, in an effort to achieve its annual acquisition target of ¥50 billion.
The above acquisitions will have minor effect on the Company’s operating performance of the current fiscal year, as most of the properties are scheduled to be sold after the end of the year.
For any query on the announcement, please contact:
Tosei Corporation Corporate Planning Department Phone: +81-3-3435-2864