Enhancing Value Along Railway Lines and Developing New Markets in Greater Tokyo and Overseas

「ASEANではタイ、ベトナム、フィリピン、インドネシア、マレーシアで住宅分譲を展開してきたが、インドネシアではセントラルパークモールなどの商業施設・オフィスを取得し、ベトナムやシンガポールでは物流倉庫にも進出するなど、アセットタイプと国・地域の双方で事業を拡大している。」

「(1) Significant changes in the scope of consolidation during the cumulative consolidated period under review: Yes New: 1 company (name) PT DPM ASSETS INDONESIA」

「In the overseas real estate business, we newly acquired Deli Park Mall, a large-scale commercial facility in Medan, Indonesia, expanding the overseas leasing business. We also expanded our operating areas by participating for the first time in logistics real estate development and detached-home development in the United States, entering the residential development business in India, and continuing to advance residential development in Australia and Canada in addition to ASEAN countries.」

「In addition to condominium unit sales in the residential business exceeding the previous-year period and steady performance by properties in the leasing business, factors included the sale during the period of a logistics facility designed for short-term recovery of investment, strong lodging operations in the hotel business and growth in the overseas real estate business. Operating revenue increased by ¥28,375 million, or 17.4%, year on year to ¥191,390 million, while operating profit increased by ¥8,276 million, or 28.5%, to ¥37,357 million.」

「In the overseas real estate business, we expanded our overseas leasing portfolio by participating in logistics real estate and residential businesses in Australia and partially acquiring Beachwalk Complex, a commercial and hotel complex representing Bali, Indonesia. We also advanced residential development in ASEAN countries and expanded our operating areas by participating in condominium development in Canada for the first time.」

「NSM Assets Japan G.K., newly established on 22 September 2023 as a subsidiary of our subsidiary Hankyu Hanshin Properties Co., Ltd., newly established PT NSM ASSETS INDONESIA on the same date for the purpose of acquiring Neo Soho Mall, a large-scale commercial facility in West Jakarta, Indonesia. NSM Assets Japan G.K. and PT NSM ASSETS INDONESIA were included in the scope of consolidation during the third quarter of the current fiscal year.」

「Supported by the recovery in lodging demand, particularly inbound demand, in the hotel business, the steady performance of properties including Osaka Umeda Twin Towers South in the leasing business, and the expansion of the overseas real estate business, operating revenue increased by ¥13,478 million, or 10.5%, year on year to ¥142,381 million, while operating profit increased by ¥10,841 million, or 93.5%, to ¥22,436 million.」

「From the first quarter of the current fiscal year, the overseas real estate business has been presented as an independent business category, or subsegment, within the real estate segment.」

「CPM Assets Japan G.K., newly established on 5 August 2022 as a subsidiary of our subsidiary Hankyu Hanshin Properties Co., Ltd., acquired shares in PT CPM ASSETS INDONESIA on 22 September 2022 for the purpose of acquiring Central Park Mall, a large-scale commercial facility in West Jakarta, Indonesia.」

「For the large-scale Umeda 1-chome 1-bancho Project (building name: Osaka Umeda Twin Towers South), Phase II of the Hanshin Department Store building was completed in September 2021, with the new department store opening in stages in October of the same year, except for certain areas. The entire project was completed in February 2022, and the Hanshin Department Store held its grand opening in April of the same year. The Kobe Sannomiya Hankyu Building, directly connected to Hankyu Kobe-Sannomiya Station, and the Hankyu Hanshin Ueno-Okachimachi Building in the Tokyo metropolitan area were also completed and opened.」

「Hankyu Railway Co., Ltd. Kobe Hankyu Building East Wing Replacement and West Wing Renovation Project 21,014 April 2021」

「In addition to the Kobe Sannomiya Hankyu Building directly connected to Hankyu Kobe-Sannomiya Station in Chuo-ku, Kobe, H-CUBE MINAMIAOYAMA in Minato-ku, Tokyo, was completed. We also renovated facilities including Noda Hanshin WISTE in Fukushima-ku, Osaka, and Emil Takatsuki in Takatsuki, Osaka, working to strengthen the competitiveness of commercial facilities and office buildings and maintain and improve occupancy rates.」

「Hankyu Hanshin Properties Co., Ltd. Ginza 3-chome Development Project 15,748 April 2020」

「Hankyu Hanshin Properties Co., Ltd. · Kyobashi 2-6 District Redevelopment Project 9,210 April 2019」

「In the overseas real estate business, we worked to expand the business by undertaking condominium and detached-home development in ASEAN countries including Vietnam and Thailand.」

「Against this backdrop, under the medium-term management plan covering the period through FY2018, we position this period as a time to establish the foundations for medium- to long-term growth and will work to enhance the value of areas along the railway, including the Umeda district, and develop new markets for medium- to long-term growth, including the Tokyo metropolitan area and overseas markets.」

「Against this backdrop, under the medium-term management plan covering the period through FY2018, we position this period as a time to establish the foundations for medium- to long-term growth and will work to enhance the value of areas along the railway, including the Umeda district, and develop new markets for medium- to long-term growth, including the Tokyo metropolitan area and overseas markets.」

「Under the medium-term management plan covering the period through FY2018, we position this period as a time to establish the foundations for medium- to long-term growth and will work to enhance the value of areas along the railway, including the Umeda district, and develop new markets for medium- to long-term growth, including the Tokyo metropolitan area and overseas markets.」

「To diversify the portfolio concentrated in Umeda and areas along the railway, we will acquire income-producing assets such as leased properties in the large Tokyo metropolitan market and overseas markets with expected growth, thereby building a stable earnings base in the Tokyo metropolitan area and overseas.」

「For the Hankyu Railway Co., Ltd. Ginza 3-chome Development Project, the company newly finalized the capital expenditure plan, showing ¥13,915 million paid to date, construction commencement in August 2016, and scheduled acquisition and completion in the second half of FY2019.」

「Construction began on the new (provisional name) Nishinomiya-Kitaguchi Hankyu Building in Nishinomiya, Hyogo Prefecture, and on the Yotsuya Station Front Redevelopment Project in Shinjuku, Tokyo, which is being jointly promoted with other operators. Demolition work also began on the existing buildings for the Kobe Hankyu Building East Wing Replacement Project in Chuo-ku, Kobe, and the Kyobashi 2-6 District Redevelopment Project in Chuo-ku, Tokyo.」

「In the real estate leasing business, we worked to strengthen the competitiveness of commercial facilities and office buildings and maintain and improve occupancy rates, including by creating vibrancy and improving pedestrian circulation through area events in the Umeda district.」