Message from the President

Creating a Good Company to Serve All Stakeholders Over the Next 100 or 200 Years. Tokyo Tatemono Co., Ltd. Representative Director, President and CEO Hitoshi Nomura

Zenjiro Yasuda, the founder of the Tokyo Tatemono Group, stated that the real estate business is a business measured in 100 or 1,000 years for people and society. He also espoused a philosophy (the customer always comes first and enterprising spirit) that became the model upon which the modern real estate business was built. More than 120 years later, our business still embodies those words, inseparable from social issues. I am convinced that we will have an even larger impact on society in the future.

Modern society faces a number of pressing challenges. These challenges include population decline due to a declining birthrate and an aging population, the problem of urban development in response to frequent disasters, climate change, global environment risks, and intense competition among global cities. We never know when unexpected change will occur. In this era, we recognize the significant role we must accomplish through our own businesses for the future benefit of our customers and society. Companies that cannot meet this duty will not survive long in the world to come.

In 2019, we closed the final chapter of a five-year medium-term business plan. We achieved several goals under this plan, including 50 billion yen in operating income. In reaching these achievements, we produced synergies through restructuring our businesses and collaborations, driving greater group unification. We have created a long-term vision to serve as a shared understanding, linking a unified Tokyo Tatemono Group to even higher levels of sustainable growth.

Our long-term vision, Becoming a Next-Generation Developer, looks forward to the year 2030, which is also the target year of the SDGs. There is a reason we chose to use the word “developer” in the title of our vision. The root word of developer is develop, which not only means to improve land and construct buildings, but also means to evolve and grow in the softer sense of the word. For us, Becoming a Next-Generation Developer means something beyond building tangible structures and growing profits. This ideal also reflects how we strive to create services for lifestyles, work, and rest, building long-term cultures and functions for our communities. In other words, we aim to be a business measured in 100 or 1,000 years, just as our founder proclaimed.

Our long-term vision aims to raise the level at which we solve social problems and achieve sustained growth and greater value as an enterprise. The 17 goals of the SDGs contain many matters having a deep relationship to our businesses. More than any, however, is Goal 11: Sustainable Cities and Communities. This is a goal in which we must make a positive contribution through all of our business activities. We contribute to solutions for a variety of social issues through our businesses. Our contributions include buildings and housing that are resilient in the face of the environment and natural disaster, support for safe and secure communities, and work to help create ideal communities. Our redevelopment work in the Yaesu, Nihonbashi, and Kyobashi areas are several examples. Here, we formed a redevelopment association together with local landowners, engaging in community development that helps solve local issues while adding to the attraction of local culture, festivals, and more. In July 2019, we received ZEB Ready certification for Hareza Tower, the first such certification for a multi-use super skyscraper. This large-scale development project in Ikebukuro, Tokyo, reflects our commitment to buildings and housing that achieve both environmental and economic goals. The Brillia condominium series in the Tokyo Tatemono Group residence business developed the Brilliaeco concept, which reduces the burden of housing on the environment. Here, the Brillia Tower Seiseki Sakuragaoka Blooming Residence, scheduled for completion in 2022, has already received the ZEH-M (Zechi Mansion) certification, the first super skyscraper in the Tokyo metropolitan area to do so. In 2020, we established the Sustainability Committee to raise the level of group ESG management. Reporting directly to the president and executive directors, this committee engages in cross-organization sustainability initiatives.

We have taken the helm decisively in sustainability management because we recognize that we cannot survive unless we become a truly Good Company in a time in which the structural weaknesses of capitalism have become clear and global-scale social issues pile one on top of the other. The subtitle of our long-term vision is Being a Good Company for All Stakeholders. And I believe that the Tokyo Tatemono Group is the best Good company in Japan. As we state in our corporate philosophy, we believe trust is the most important asset for a business, and trust is what creates the future. It is upon this belief that we have built relationships with customers and business partners. Of course, this was not something we accomplished quickly. Tokyo Tatemono employees are outstanding people. Many employees have said that they trust Tokyo Tatemono and hope to work here over a long career. This reputation is our greatest strength and how we should always be as a company. In some ways, shareholders, customers, business partners, employees, and others have conflicting interests. Even so, I believe it is possible to be a balanced Good Company in all aspects, as long as we are committed now and in the future to this vision of an ideal future. To be a company trusted by society over the next 100 and 200 years, the Tokyo Tatemono Group will come together, united in our aim to be a better Good Company.

Hareza Ikebukuro