Decline in the fair value of rental real estate and rise in vacancy rates
First written in FY2016. 3 of 7 entries say "Restated". Latest entry: FY2026.
Urbanet Corporation moved to the "Worse" side of this theme in 2021, 1 year before the typical company in this theme (2022).
The whole theme swung hardest in 2020: 30 of 69 companies on the "Worse" side.
2 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「Impairment losses 17,927」
The Group recorded ¥17.927 million in impairment losses in its real estate business during the fiscal year, demonstrating the emergence in actual results of the risk of declining fixed-asset values and impairment. - FY2024RestatedAnnual report
「Our group is promoting the ownership and efficient use of rental properties to generate rental income and secure properties for future in-house development. However, if the profitability of rental properties declines due to lower rents, higher vacancy rates or other factors resulting from deterioration in economic conditions or real estate market conditions, losses associated with write-downs of the carrying amounts of fixed assets could arise and affect the group's operating results and financial condition.」
Continues to disclose the risks of lower rents, higher vacancy rates and impairment losses for rental properties. - FY2023WorsenedAnnual report
「During the current consolidated fiscal year, operating income from the hotel business remained negative due to the impact of COVID-19, indicating signs of impairment. However, because total undiscounted future cash flows exceeded the carrying amount of the property, plant and equipment, the group determined that no impairment loss needed to be recognized.」
The group explicitly stated that signs of impairment continue for hotel property, plant and equipment. However, it did not recognize an impairment loss because future cash flows exceeded the carrying amount. - FY2021-Q3MaterialisedAnnual report
「The real estate business segment recognized an impairment loss on fixed assets, specifically rental real estate. The impairment loss recognized for the cumulative third quarter of the current consolidated fiscal year was ¥116.677 million.」
The group recognized an impairment loss of ¥116.677 million on rental properties it owns, indicating that the risk associated with declining rental-property values has materialized in its results. - FY2018RestatedAnnual report
「If economic fluctuations cause a decline in the valuation of these assets due to changes in their fair values, or if rental-property vacancy rates rise sharply, the group's operating results could be affected.」
Continues to disclose the risks of declining fair values and rising vacancy rates for rental properties held by the group. - FY2017RestatedAnnual report
「If economic fluctuations cause a decline in the valuation of these assets due to changes in their fair values, or if rental-property vacancy rates rise sharply, the group's operating results could be affected.」
Continues to disclose the risks of declining fair values and rising vacancy rates for rental properties held by the group. - FY2016First statedAnnual report
「If economic fluctuations cause a decline in the valuation of these assets due to changes in their fair values, or if rental-property vacancy rates rise sharply, the group's operating results could be affected.」
Describes asset-value and occupancy-rate risks associated with the policy of expanding income-producing properties held by the group.