Message from the President and CEO

Guided by our long-term vision for 2030, which is to become a next-generation developer, Tokyo Tatemono Group is dedicated to developing and managing buildings where people can live, work, and gather with peace of mind, both now and into the future. We are promoting a wide range of sustainability initiatives, including the development and management of environmentally conscious buildings, as exemplified in recent years by our ZEB, ZEH, and green building projects.

In the year since I became president, I have seen a clear, rapid rise in customer awareness of sustainability, particularly in the environmental field. The response from customers who recognize the added value of the environmentally conscious buildings we provide has been unmistakable.

A prime example of this is Brillia Fukasawa 8-chome, which was completed in December 2024. This project is Japan's first for-sale condominium completed as a large-scale building that conforms to the ZEH-M standard. It achieved a primary energy consumption reduction rate of at least 100% for the entire residential building. Improving environmental performance can result in some of the cost being reflected in the selling price, but sales were extremely strong. We understand this result as a sign that customers regard high environmental performance as significant added value.

In addition to Brillia Fukasawa 8-chome, Tokyo Tatemono Group has long been promoting the Waste Not Life Project as an initiative to reduce waste at Brillia for-sale condominiums. As part of this project, we are also developing GOMMY, which aims to solve issues related to waste sorting and sanitary conditions through spatial design. At first glance, this may seem like a small initiative, but we believe that the process of consulting with for-sale condominiums management associations to create better environments for residents is what leads to sustainability in a broader sense. We are committed to providing buildings that continue to offer value in line with the changing times, and achieving this requires customers to understand that value. Especially in the environmental field, we have emphasized carefully communicating the relationship between the value we provide and its cost so that customers can understand and accept it. Rather than making unilateral proposals simply on the basis that something is "good," we believe it is important for customers themselves to recognize that value. This process of providing value and fostering understanding is the foundation of our initiatives, and we believe it is the essence of the vision we aspire to realize.

This applies to all of Tokyo Tatemono Group's businesses. Whether in office buildings or commercial facilities, people are always at the center, as workers, users, and visitors. Sustainability is not limited to advancing environmental measures. It is an initiative to place people at the center and enhance value so that they can live better lives. We now recognize more strongly than ever that our role is to work alongside people in creating that value.

Tokyo Tatemono Group established the Tokyo Tatemono Group Sustainability Policy in December 2025. The aim of this policy is to integrate the ideas underlying the various sustainability initiatives that Tokyo Tatemono Group has promoted to date, create a single axis, and align the direction of the entire Group, thereby leading to even more effective implementation.

This policy consists of three themes: "We are committed to contributing to the realization of a sustainable environment through our business activities that promote harmony with the planet"; "We are committed to supporting people and contributing to the creation of a society where everyone can live fulfilling and active lives"; and "We are committed to sustainably enhancing our corporate value by engaging in fair and sound corporate activities." Rather than standing alone, these themes are closely interconnected, with people as their central focus. First, even in cities, people do not live by urban convenience alone. They seek comfort from nature, while also facing the risks posed by natural disasters. This theme therefore emphasizes the importance of coexisting with the earth and the natural environment while enjoying the benefits of urban life. Next, people are always the central focus, whether they are working, living, enjoying an experience, or gathering together. This theme sets out our commitment to supporting people, improving workplace environments, and meeting the needs of society. Furthermore, the third theme provides the foundation for the other two: ensuring that Tokyo Tatemono Group's corporate activities themselves are sound and fair as we aim to be a good company for all stakeholders. Establishing this policy is only the beginning. We will use a variety of channels to ensure that Group officers and employees internalize the policy's principles and translate them into more advanced practice across the Group.

Tokyo Tatemono Group is promoting multiple large-scale redevelopment projects in Tokyo's Yaesu, Nihonbashi, and Kyobashi area, known as the YNK area, including TOFROM YAESU.

We have long had our head office in the YNK area and conducted business there. Looking back at its history, the YNK area developed during the Edo period as a place where river wharves brought in foodstuffs and other goods from various regions, and it grew as a merchant town. Against this background, the YNK area has become home to long-established restaurants and a diverse range of stores, creating a place where people can enjoy a lively atmosphere unique to the locality as they walk through its streets.

Based on this history, Tokyo Tatemono Group has set the theme of "a town that connects ideas and nurtures the new" for the YNK area. Rather than simply introducing new things, we place importance on respecting the town's individuality, spirit, culture, and history, and integrating new elements in ways that build on these qualities. As a company that has also been rooted in the YNK area, we would like to share our aspirations with local communities, tenants and residents, and the many people who feel an attachment to this place, working together to enhance its value and overcome the issues it faces.

TOFROM YAESU is directly connected to Tokyo Station through an underground concourse. A highway bus terminal has opened, and its theater and conference facilities have also begun preliminary operations. Medical facilities, commercial zones, and other facilities are scheduled to open in stages going forward. The project will make it easier for people to move around Tokyo Station, strengthen the YNK area as a place for interaction and exchange, and play an important role in shaping pedestrian flows. We believe it will become an important hub that brings together transportation, culture, and commerce, enriching the lives of the people who spend time there.

Achieving this will first require improving disaster preparedness. The YNK area once faced crisis management issues, including a concentration of old buildings and streets too narrow for emergency vehicles to pass through. After the Great East Japan Earthquake, there was a heightened awareness of whether communities could remain sustainable in the event of a disaster. Strengthening disaster preparedness therefore became an important pillar of this redevelopment, which comprehensively improves the entire city block. TOFROM YAESU has also developed functions for accommodating people unable to return home during a disaster, including plazas and other spaces that can be used for this purpose. This reflects a people-centered approach in which disaster preparedness to protect lives is treated as a fundamental premise.

Another essential factor in maintaining the vitality of an area is tenant turnover. However, this does not mean leaving its past or traditions behind. In the YNK area, we place great importance on respecting the history, culture, local character, and spirit rooted there, while adding new features and transforming it into a place that offers even more enjoyment. At commercial facilities as well, plans are moving forward to bring together stores that carry on the YNK area's food culture dating back to the Edo period, while adding new character of their own.

"Connections" and "networks" are also key concepts in this project. At TOFROM YAESU, the plan is to improve energy efficiency across the entire area by installing heat source equipment within the building and linking it with other heat source systems in the area. Rather than treating transportation, culture, and energy as separate initiatives, we plan them in an integrated way to draw out even greater value. In doing so, we support and enhance the wellbeing of the people who live in the area. This cycle embodies the kind of sustainability that Tokyo Tatemono Group seeks to realize.

Under our long-term vision for 2030 of Becoming a Next-Generation Developer, Tokyo Tatemono Group aims to solve social issues through business while achieving a higher level of corporate growth. It is precisely because this vision explicitly refers to the "next generation" and looks ahead to long-term continuity that our sustainability initiatives are essential. As described above, Tokyo Tatemono Group has advanced various initiatives through its businesses. Now that the Tokyo Tatemono Group Sustainability Policy has clarified the direction we should pursue, it is important not simply to continue these efforts as an extension of the past, but to incorporate specific measures based on the policy into our future plans and execute them with purpose.

We are now moving into that implementation phase and are on track to announce a new management plan in February 2027. In developing the new management plan, we will build on the sustainability initiatives we have pursued to date and deepen discussions on how Tokyo Tatemono Group as a whole can take more effective action.

The YNK area is one example of this approach, but these practices are by no means limited to that location.

In Ikebukuro, Kansai, regional cities, and the many other areas where Tokyo Tatemono Group operates, we aim to enhance value by taking into account each region's characteristics and working alongside the people at the heart of those communities.

In Europe and the United States, some movements have run counter to sustainability initiatives, and Japanese companies are also being confronted with questions about how they should respond to these trends. However, our stance will not waver. Tokyo Tatemono Group's initiatives are built on the steady practice of understanding and responding to people's thoughts and values. As a developer, we will continue advancing our sustainability initiatives with a firm commitment to creating a sustainable future where people can live comfortably and with peace of mind.

Going forward, we will remain true to this axis and continue strengthening people-centered efforts that support better lives today and tomorrow, thereby enhancing both social and corporate value.