Competitive Advantage of Commercial Facilities and Stronger Efforts to Attract Families

「At サントムーン柿田川, new tenants opened and promotional events were held around the Golden Week holiday period, resulting in steady progress in attracting visitors.」

「In the commercial facilities business, at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, revenue exceeded the previous fiscal year, supported by resilient market conditions and successful Japanese films. Operating profit also exceeded the previous fiscal year despite higher depreciation resulting from investments in equipment renewals. As a result, revenue in the commercial facilities business increased 3.8% year on year to ¥2,304 million, while operating profit increased 6.4% to ¥954 million, absorbing the higher depreciation burden and resulting in higher revenue and earnings.」

「In the commercial facilities business, the Company worked to enhance the attractiveness of “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, by holding events such as the joint prize campaigns “Thanks! Summer Days” and “Premium Sale.” The facility’s transaction volume also increased against a backdrop of economic recovery and higher selling prices.」

「The Company will increase customer and tenant satisfaction at “SUNTO MOON Kakitagawa,” its largest facility, located in Shizuoka Prefecture, and operate it as a more attractive facility.」

「In the commercial facilities business, at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, revenue exceeded the same period of the previous year despite the impact of closing some sections during construction in early spring. This was supported by the opening of the large-scale GU tenant before Golden Week and stronger seasonal promotional events, including those for Golden Week, summer vacation, Christmas and the year-end/New Year period.」

「In the commercial facilities business, at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, revenue exceeded the same period of the previous year despite the impact of closing some sections during construction, supported by the opening of the large-scale GU tenant before Golden Week and stronger summer vacation promotional events.」

「In the commercial facilities business, construction to reconfigure the floor space in the main building at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, was completed. GU, part of the UNIQLO group, opened before Golden Week, and the Company also worked to strengthen the facility through the opening of new tenants and enhanced promotional events.」

「The Company carried out construction to reorganize the floor space at the SUNTO MOON Kakitagawa commercial facility, and on 28 April 2023 opened a GU store, a large-scale fashion tenant.」

「Taking advantage of the departure of some fashion tenants, the Company decided to substantially reconfigure the main building’s floor space and attract large-scale tenants, despite the one-time cost involved, and began the necessary construction.」

「In the commercial facilities business, “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, opened Japan’s first juvenile fish aquarium in July. The resulting publicity, including repeated coverage in local media, together with the facility’s 25th anniversary, supported further strengthening of Golden Week and summer vacation promotions and community-focused operations to increase customer traffic.」

「In the commercial facilities business, the Company sought to increase customer traffic at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, by further strengthening Golden Week promotions and community-focused operations, taking advantage of the facility’s 25th anniversary.」

「In the commercial facilities business, “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, was significantly affected by the fifth wave of COVID-19 and the sixth wave from early 2022 through the end of the fiscal year. The business was also affected by the decline following the previous fiscal year’s blockbuster film “Demon Slayer: Kimetsu no Yaiba” and prolonged reductions in operating hours, resulting in difficult operating conditions, particularly for food service and amusement tenants. However, signs of recovery began to emerge after the lifting of the quasi-emergency measures to prevent the spread of disease in late March.」

「As a result, revenue in the commercial facilities business was ¥1,603 million (¥1,775 million in the same period of the previous year), and operating profit was ¥576 million (down 0.7% year on year).」

「In the commercial facilities business, the Company temporarily closed the facility at the request of Shizuoka Prefecture and provided rent reductions to some tenants, while the food service and entertainment sectors continued to struggle under the prolonged impact of the COVID-19 pandemic. On the other hand, the business continued its gradual overall recovery, supported by the opening of “SUNTO MOON Oasis” at the end of the previous fiscal year, the effects of the film “Demon Slayer: Kimetsu no Yaiba,” and certain business categories, including daily necessities, whose performance improved during the pandemic.」

「Against this backdrop, the expansion and renovation works at the facility, constituting the fourth development phase, progressed smoothly, and on 10 March 2020 the Company opened the new 3-story building “SUNTO MOON Oasis,” with approximately 7,000 m² of tenant space accommodating 33 stores.」

「The Company also proceeded with preparations, in line with the plan, to open the new building “Oasis” at “SUNTO MOON Kakitagawa” in March of the current year.」

「The Company continued preparations for the opening of the new building, “SUNTO MOON Oasis,” the following spring.」

「In the commercial facilities business, the construction schedule for the fourth development phase at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, became clear, and the Company announced plans to open the facility the following spring.」

「In the commercial facilities business, the Company began the fourth development phase at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, opened the separate building ahead of schedule in October 2018, and began construction of the new building as scheduled. Operations at the commercial facility progressed smoothly, supported by stronger initiatives for the Christmas shopping season.」

「In the commercial facilities business, the Company began the fourth development phase at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities. Construction of a separate building intended to open ahead of the main development was nearly complete, and construction of the new building also began as scheduled.」

「In the commercial facilities business, the Company began the expansion and renovation works at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, as part of the fourth development phase, and focused on increasing customer traffic by holding family-oriented events, including Golden Week events.」

「The Company will continue to make priority investments in the commercial facilities business, its main earnings driver. Specifically, it will begin the expansion and renovation of “SUNTO MOON Kakitagawa” during 2018 as part of the fourth development phase.」

「In particular, in the commercial facilities business, the Company accelerated its preliminary studies for additional development at “SUNTO MOON Kakitagawa” in Shizuoka Prefecture and focused on its 20th-anniversary events.」

「In the commercial facilities business, the Company advanced its preliminary studies for future additional development at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities. It also decided to hold 20th-anniversary events throughout the year and placed greater emphasis on seasonal initiatives and promotional activities, including stronger summer vacation events for children.」

「In the commercial facilities business, the Company continued preliminary studies on the possibility of additional development at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, as a future issue, while focusing on 20th-anniversary initiatives, including concentrated promotional activities to mark the facility’s 20th anniversary in April.」

「At “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, the challenge is to maintain a position that surpasses competitors and consolidate its competitive advantage. With the capital and business alliance with SEED CO.,LTD., launched in February 2017, as its central initiative, the Company intends to further grow the commercial facilities business at a new stage, including by examining additional development at “SUNTO MOON Kakitagawa,” in anticipation of the next medium-term management plan.」

「Under “creating a strong foundation for its core businesses,” in the commercial facilities business, the Company continued working to increase customer traffic at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, by making necessary renewal investments, including the renovation of Fresh Food Hall, one of the core tenants, in November, and by strengthening promotional events for children held as part of various events.」

「Under “creating a strong foundation for its core businesses,” in the commercial facilities business, the Company focused on strengthening children’s events and attracting more appealing tenants at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, thereby working to increase customer traffic.」

「In the commercial facilities business, the Company focused on enhancing customer traffic at “SUNTO MOON Kakitagawa,” one of Shizuoka Prefecture’s leading commercial facilities, by holding events for children and improving circulation within the facility,」

「The first issue to be addressed is to maintain a position that surpasses competitors and consolidate the competitive advantage of the commercial facilities business. To this end, the Company will further enhance the attractiveness of its facilities and strengthen its ability to attract families, an existing strength.」