Strategic Investment in Growth Sectors

「三交不動産㈱ opened Yokkaichi Sanco Building, one of the largest rental office buildings in Mie Prefecture, in August this year, and began developing Yokkaichi Sanco Building Annex, with Sanco Inn as its anchor tenant, thereby working to expand the earnings base centred on the Real Estate segment.」

「Following the openings of No. 2 Nagoya Sanco Building and Meieki Sanco Building, the new Yokkaichi Sanco Building was completed, while development of rental apartments for sale also progressed, contributing to expansion of the earnings base.」

「三交不動産㈱ opened Meieki Sanco Building in April this year and No. 2 Nagoya Sanco Building in June, and also began developing Mie Prefecture’s first rental apartments for sale in Yokkaichi, thereby expanding the earnings base centred on the Real Estate segment, a growth driver.」

「三交不動産㈱ advanced construction of the tentatively named No. 2 Nagoya Sanco Building and the tentatively named Nagoya City Nakamura Ward Tsubaki-cho Building in Nagoya, as well as the tentatively named Yokkaichi Station-front Sanco Building in Mie Prefecture, working to expand the earnings base of the Real Estate segment as a growth driver.」

「Against this backdrop, to capture a broad range of needs, the group opened “Sanco Inn Ise-Shi Ekimae ‘Annex’ Grande” in July 2023 in a building adjacent to the “Sanco Inn Ise-Shi Ekimae” business hotel, offering an elegant space of a higher grade, and worked to secure revenue.」

「The basic policies and specific priority measures are as follows. □ Deepening and creating growth sectors」

「In addition, the group advanced the rental business, a priority area, through projects including the construction of the “2nd Nagoya Sanco Building” (provisional name), the “Nagoya City Nakamura-ku Tsubaki-cho Building” (provisional name), and the construction plan for the “Sanco Yokkaichi Ekimae Building” (provisional name), among others.」

「The group also advanced its business, focusing on priority areas, including constructing build-to-sell rental condominiums in Nagoya and the “2nd Nagoya Sanco Building” (provisional name), and pursuing plans to construct an office building in front of Kintetsu Yokkaichi Station.」

「The group also advanced its business, focusing on priority areas, including constructing build-to-sell rental condominiums in Nagoya and the “2nd Nagoya Sanco Building” (provisional name).」

「Start of operations at all facilities of the Tsu Mega-Solar Mori no Machi Chusei Bypass Power Plant; opening of Sanco Inn Kyoto Hachijoguchi; renovation of Sanco Inn Nagoya Shinkansen-guchi; opening of Sanco Inn Grande Nagoya; and commencement of contracted management operations for the apartment hotel FAV HOTEL ISE」

「Promotion of the environmental energy and Sanco Inn businesses; start of operations at the Daibutsuyama Mega-Solar Power Plant; start of operations at the Minami-Ise Kotsusa Mega-Solar No. 2 Power Plant; start of operations at all facilities of the Tsu Mega-Solar Mori no Machi Chusei Bypass Power Plant; opening of Sanco Inn Kyoto Hachijoguchi; reopening of Sanco Inn Nagoya Shinkansen-guchi after renovation; and opening of Sanco Inn Grande Nagoya」

「Construction of all facilities at the Tsu Mega-Solar Mori no Machi Chusei Bypass Power Plant was completed in October of the same year, and operations began.」

「Of the 5 facilities comprising the Tsu Mega-Solar Mori no Machi Chusei Bypass Power Plant, scheduled for completion in January 2021, construction of 4 facilities was completed, and they began operating sequentially from August this year.」

「Opening of Nagoya Sanco Building; expansion of the “Chuning” parking business in Aichi Prefecture; planning of the redevelopment of existing rental facilities as the tentatively named No. 2 Nagoya Sanco Building; and promotion of development of rental apartments for sale」

「In the environmental energy business, operations began at the Daibutsuyama Mega-Solar Power Plant in Ise in April 2019, and construction of the Minami-Ise Kotsusa Mega-Solar No. 2 Power Plant, scheduled to begin operating in March 2020, is progressing steadily. In the business hotel and rental businesses, the 14th business hotel, Sanco Inn Kyoto Hachijoguchi, opened in September 2019. In addition, Nagoya Sanco Building, which is scheduled to house the higher-grade Sanco Inn Grande Nagoya brand, is scheduled to open on 24 April 2020.」

「具体的な取組みとしては、本年４月に伊勢市において「大仏山メガソーラー発電所」の運転を開始したほか、本年９月には、京都駅八条口正面に14ホテル目となるビジネスホテル「三交イン」をオープンしました。さらに、ワンランク上のブランドの「三交インGrande名古屋」が入居する予定の「名古屋三交ビル」の建替工事も順調に進捗し、令和２年４月中の開業を予定しております。」

「In the areas targeted as part of efforts to transform the business structure, the Daibutsuyama Mega-Solar Power Plant began operating in April this year, the tentatively named Sanco Inn Kyoto Hachijoguchi was completed ahead of its planned opening in September this year, and the redevelopment plan for Nagoya Sanco Building, targeted for opening in April 2020, is progressing smoothly.」

「At the Gozaisho Ropeway, which underwent a large-scale renovation in July 2018, visitor numbers increased substantially. In September, the household goods retail business opened its third store in Nagoya, Tokyu Hands Nagoya Mozo Wonder City, while the business hotel business, Sanco Inn, opened Sanco Inn Osaka Yodoyabashi, marking its first entry into the Kansai region, thereby working to strengthen and expand earnings capacity.」

「In July this year, the Company carried out a large-scale renovation of the Gozaisho Ropeway. In September, its household goods retail business opened its third store in Nagoya, Tokyu Hands Nagoya Mozo Wonder City, while its business hotel business, Sanco Inn, opened Sanco Inn Osaka Yodoyabashi, marking its first entry into the Kansai region, thereby working to strengthen and expand earnings capacity. As investment in growth sectors, it also steadily implemented investment plans, including construction of the tentatively named Sanco Inn Kyoto Hachijoguchi, scheduled to begin operating from fiscal 2019 onward, redevelopment of Nagoya Sanco Building and construction of a mega-solar facility.」

「Against this backdrop, in the current fiscal year, the final year of the medium-term management plan formulated in February 2016, our Group steadily implemented its investment plans, including the renovation of the Gozaisho Ropeway, construction of “Sanco Inn Kyoto Hachijoguchi” (provisional name), reconstruction of the Nagoya Sanco Building, and construction of mega-solar facilities, while actively advancing its businesses toward achieving the plan.」

「In the areas identified as “strategic investment in growth sectors,” the Real Estate segment posted a substantial increase in profit due to higher revenue from the environmental energy business following the construction of new solar power generation facilities. In the business hotel operations of the Leisure and Services segment, the 12th hotel, Sanco Inn Nagoya Shinkansen-guchi ANNEX, opened in December 2017, while each hotel maintained high occupancy rates and room rates, enabling the business to continue steadily expanding as a stable earnings base.」

「In the areas identified as “strategic investment in growth sectors,” the Real Estate segment posted a substantial increase in profit as revenue from the environmental energy business rose, while the business hotel operations in the Leisure and Services segment performed well, with each hotel maintaining a high occupancy rate and contributions from Sanco Inn Ise-Shi Ekimae, which opened in November of the previous year.」

「The Real Estate segment posted a substantial increase in profit, due to higher rental income and contributions from solar power generation facilities.」

「As investment in growth sectors, in addition to the construction of new solar power generation facilities, the Company opened its 11th business hotel, Sanco Inn Ise-Shi Ekimae, and renovated Tokyu Hands Nagoya store, which it operates as a franchise, thereby working to improve earnings capacity across its businesses.」

「In the rental and environmental energy businesses identified as “strategic investment in growth sectors,” new facilities began operating smoothly.」

「Against this backdrop, our Group steadily advanced its businesses under three basic policies, including “providing safe, secure, reliable and comfortable services,” to achieve the medium-term management plan beginning this fiscal year.」

「Under the medium-term management plan formulated in February this year, we are working to strengthen the Group’s management foundation by pursuing the achievement of the three-year plan under three basic policies: “providing safe, secure, reliable and comfortable services,” “strategic investment in growth areas,” and “ensuring management stability.”」