-1-1. FY13/3 Results
1-1 Highlights of Results 4
1-2-1 Summary of Results (Sales and Gross Profit) 5 1-2-2 Summary of Results (Operating Profit and Net Income) 6
1-3 Results of Business Segments 7
2. FY13/3 Plan
2-1 Plan 9
2-2-1 Summary of Plan(Sales and Gross profit) 10
2-2-2 Summary of Plan(Operating Profit and Net Income) 11 2-3 Plan for Business Segments 12
3. FY13/3 Overview of Business (Leasing)
3-1 Overview of Leasing Business 14
3-2-1 Indicator (Occupancy Rate) 15
3-2-2 Indicator (Occupancy by Group) 16
3-2-3 Indicator (Shares of Occupied Units by Group) 17
3-2-4 Indicator (Shares of Occupied Units by Industry) 18
3-2-5 Indicator (Foreign Tenants) 19
3-3-1 Acquiring Individual Tenants (Office Expansion) 20
3-3-2 Acquiring Individual Tenants (Room-Customize) 21
3-3-3 Enhancing Property Value (Security Systems) 22
4. FY13/3 Overview of Business (Construction)
4-1 Overview of Construction Business 24
4-2-1 Indicator (Orders and Sales) 25 4-2-2 Indicator (Offices and Sales by Area) 26
4-3-1 Example (New Products “Dual-L” and “Arma-L”) 27 4-3-2 Example (New Products “Smaio”) 28 4-3-3 Example (Non-sound System) 29 4-3-4 Example (Elderly Care Facilities and Stores) 30 4-4-1 Solar Power Systems (Installment Sales) 31
4-4-2 Solar Power Systems(Fukushima Pilot Project) 32 4-4-3 Solar Power Systems(Roof Mega-solar Project) 33
5. FY13/3 Overview of Businesses (Others and New)
5-1 Others (Domestic Hotels Business) 35
5-2 Others (Resort Business) 36
5-3 Others (Elderly Care Business) 37
Appendix 1. Corporate Data
App.1-1 Corporate Profile 40
App.1-2-1 Quarter Comparison 41 App.1-2-2 Results of Leopalace21 Group 42 App.1-2-3 Results(Reserve for Apartment Vacancy Loss) 43 App.1-3-1 Finance (Balance Sheets) 44 App.1-3-2 Finance (Cash / Deposits and Interest-bearing Debt)45 App.1-3-3 Finance (Cash Flows) 46 App.1-4-1 Indicator (Contract Type and Usage Pattern) 47 App.1-4-2 Indicator (Occupancy by Group) 48 App.1-4-3 Indicator (Occupancy by Industry) 49 App.1-4-4 Indicator (Foreign Tenants) 50 App.1-4-5 Indicator (Leopalace Partners Offices and Contracts)51 App.1-4-6 Indicator (Occupancy Rates by Building Age) 52
App.1-4-7 Indicator (Shareholder Composition) 53
Appendix 2. New Medium-term Management Plan
App.2-1 Action Plan 55
App.2-2 Numerical Targets (Total) 56
App.2-3 Numerical Targets (Leasing / Earnings Growth from
Decreasing Vacant Units) 57
Appendix 3. Market Trends
Sales decreased compared to previous year and plan, due to a drop in Construction business sales, but improvement in Leasing business profits led to an increase in operating profit year-on-year. Also, foreign exchange gains of 5.5 billion yen, due to a sharp depreciation in the yen, and income tax
adjustments of -4.6 billion yen drastically increased recurring and net income compared to previous year and plan.
(Million yen) FY12/3
Actual
FY13/3 Plan
FY13/3
Actual YoY Compared to
Plan
Sales
459,436
463,900
454,222
-5,214
-9,678
Gross profit
55,864
60,900
57,713
+1,849
-3,187
%
12.2%
13.1%
12.7%
+0.5p
-0.4p
SGAE
51,278
52,900
50,299
-978
-2,601
Operating profit
4,585
8,000
7,413
+2,827
-587
%
1.0%
1.7%
1.6%
+0.6p
-0.1p
Recurring profit
2,349
6,100
11,091
+8,741
+4,991
%
0.5%
1.3%
2.4%
+1.9p
+1.1p
Net income
1,588
5,500
13,335
+11,746
+7,835
FY13/3 Results
FX gain 5,592
-5-FY Actual
55.8
FY Plan 60.9
FY Actual
57.7
0 10 20 30 40 50 60 70 FY
Actual 459.4
FY Plan 463.9
FY Actual
454.2
0 100 200 300 400 500 600 (Billion yen)
Sales
Gross Profit
FY12/3 FY13/3 FY12/3 FY13/3
(Billion yen)
Sales
-9.6 billion yen
compared to plan
Leasing -3.0 billion yen
Construction
(due to restraining units supplied) -6.8 billion yen
Gross profit
-3.1 billion yen
compared to plan
Leasing -1.6 billion yen
FY Plan
5.5
FY Actual
1.5
FY Actual
13.3
0 5 10 15 FY
Actual 7.4
FY Actual
4.5
FY Plan
8.0
0 5 10
Drastic increase in net income due to foreign exchange gains of 5.5 billion yen and income tax adjustments of -4.6 billion yen.
Net income
+7.8 billion yen
compared to plan
FX gain* 5.5 billion yen
Impairment loss -2.1 billion yen
Income tax adjustments -4.6 billion yen
Operating profit
-0.5 billion yen
compared to plan
Leasing -0.8 billion yen
Construction -0.2 billion yen
Operating Profit
Net Income
*FX gain consists primarily of valuation gains (non-cash) generated by yen-dominated loans to Leopalace Guam Corporation from Leopalace21, calculated with the exchange rate at the end of each accounting period.
(Billion yen)
FY12/3 FY13/3 FY12/3 FY13/3
-7-FY13/3 Results (by Business Segments)
(Million yen) FY12/3
Actual
FY13/3 Plan
FY13/3
Actual YoY Compared to
Plan
Sales 380,307 386,600 383,574 +3,266 -3,026
Gross profit 38,603 45,200 43,510 +4,906 -1,690
Operating profit 5,248 9,500 8,687 +3,438 -813
Sales 62,913 60,200 53,369 -9,543 -6,831
Gross profit 16,766 14,400 13,197 -3,568 -1,203
Operating profit 4,309 3,000 2,747 -1,561 -253
Sales 6,228 6,600 6,657 +429 +57
Gross profit 1,202 1,900 2,204 +1,001 +304
Operating profit -1,663 -1,000 -1,005 +657 -5
Sales 9,987 10,300 10,620 +633 +320
Gross profit 993 1,100 1,324 +330 +224
Operating profit -892 -700 -706 +185 -6
Elimination or Corporate
-9-FY14/3 Plan
Operating and recurring profit is expected to grow, but net income is expected to decrease year-on-year due to elimination of foreign exchange gain (5.5 billion yen) and income tax adjustments (-4.6 billion yen) recorded last fiscal year.
1,588
0.5%
2,349
1.0%
4,585
51,278
12.2%
55,864
459,436
FY12/3 Actual
(Million yen) FY13/3
Plan
FY13/3
Actual YoY
Sales
454,222
467,400
+13,178
Gross profit
57,713
69,000
+11,287
%
12.7%
14.8%
+2.1p
SGAE
50,299
54,900
+4,601
Operating profit
7,413
14,100
+6,687
%
1.6%
3.0%
+1.4p
Recurring profit
11,091
12,200
+1,109
%
2.4%
2.6%
+0.2p
459.4 454.2 467.4
0 100 200 300 400 500 600
FY12/3 Actual
FY13/3 Actual
FY14/3 Plan
69.0
57.7 55.8
0 10 20 30 40 50 60 70 80
FY12/3 Actual
FY13/3 Actual
FY14/3 Plan
Sales: Year-on-year increase of 13.1 billion yen expected due to continuing growth in Leasing and Construction.
Gross profit: Year-on-year increase of 11.2 billion yen expected due to increase in sales.
(Billion yen)
Sales
Gross Profit
(Billion yen)
Sales
YoY +13.1 billion yen
Leasing +5.4 billion yen
Construction +7.7 billion yen
Gross profit
YoY +11.2 billion yen
Leasing +8.0 billion yen
-11-4.5
7.4
14.1
0 5 10 15
FY12/3 Actual
FY13/3 Actual
FY14/3 Plan
1.5
13.3
11.0
0 5 10 15
FY12/3 Actual
FY13/3 Actual
FY14/3 Plan
Operating profit: Increase according to increase in sales and gross profit.
Net income: No foreign exchange gain or income tax adjustments expected, leading to decrease year-on-year.
Net income
YoY -2.3 billion yen
FX gain* None(FY13/3 5.5 billion yen)
Impairment loss None (FY13/3 -2.1 billion yen)
Income tax adjustments None (FY13/3 -4.6 billion yen)
Operating profit
YoY +6.6 billion yen
Leasing +6.3 billion yen
Construction +0.7 billion yen
Operating Profit
Net Income
*Foreign currency exchange risk minimized by execution of debt equity swap against subsidiary (Leopalace Guam), on March 26, 2013.
FY14/3 Plan (by Business Segments)
(Million yen) FY12/3
Actual
FY13/3 Actual
FY14/3
Plan YoY
Sales 380,307 383,574 389,000 +5,426
Gross profit 38,603 43,510 51,600 +8,090
Operating profit 5,248 8,687 15,000 +6,313
Sales 62,913 53,369 61,100 +7,731
Gross profit 16,766 13,197 15,700 +2,503
Operating profit 4,309 2,747 3,500 +753
Sales 6,228 6,657 6,700 +43
Gross profit 1,202 2,204 2,400 +196
Operating profit -1,663 -1,005 -700 +305
Sales 9,987 10,620 10,500 -120
Gross profit 993 1,324 1,300 -24
Operating profit -892 -706 -600 +106
Elimination or Corporate
Indicator
Occupancy Rate
Occupancy by Group
Shares of Occupied Units by Groups
Occupied Units by Industry
Foreign Tenants
Measures
Office Expansion (for individuals)
Room Customize (for individuals)
Security Systems (Enhancing Property
Value)
Owners
Leopalace21
Leasing
Construction
Tenants
Master
Lease
Rental
Income
Rent
Leasing Business
-15-78% 80% 82% 84% 86%
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
FY 2011/3 FY 2012/3 FY 2013/3 FY 2014/3
Occupancy Rate
※
Target average occupancy rate for FY14/3: 85.0%
83.32 FY 2014/3
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Avg.
FY 2011/3 80.72 79.83 79.09 78.43 78.87 79.78 78.80 79.22 79.71 80.93 81.89 83.69 80.08
FY 2012/3 81.09 80.64 80.87 80.45 80.50 81.05 80.43 80.69 80.54 81.65 82.73 83.40 81.16
FY 2013/3 81.77 82.18 82.69 82.53 82.90 83.13 82.59 82.55 82.29 83.39 84.48 84.81 82.94
0 50 100 150 200 250
Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar
FY09/3 FY10/3 FY11/3 FY12/3 FY13/3
200 300 400 500 600 Managed units (right axis)
Occupied units (right axis)
70% 80% 90% 100%
Corporate tenants are steadily rising, but increasing the number of individual and student tenants still remains an issue.
Occupancy rate
Occupied units by Group (Thousand units)
Managed and occupied units (Thousand units)
Occupancy rate Individuals (left axis)
Corporate (left axis)
Students (left axis)
*Figures are as of the end of each month *Reference of p.48
-17-40.3% 40.9% 40.7% 42.3% 43.2% 44.1% 45.2% 47.3% 47.3% 47.4% 47.7% 49.4% 44.3% 43.8% 43.7% 42.5% 42.2% 41.6% 40.3% 38.8% 39.3% 39.4% 38.9%
38.0%
15.4% 15.3% 15.6% 15.1% 14.6% 14.3% 14.5% 13.9% 13.4% 13.3% 13.4% 12.6%
449,745 463,222 460,231
463,877 451,925
463,509 461,846
478,438 453,411
449,085
442,292 458,264
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
FY11/3 FY12/3 FY13/3
(Units)
Corporate-occupied units Individual-occupied units Student-occupied units
Both occupied units and shares of corporate tenants are steadily increasing due to reinforcement of corporate sales.
*Figures are as of the end of each quarter *Reference of p.48
(Units)
Other
Construction
Food service
Services
Staffing, outsourcing
Manufacturing Retail
Shares of Occupied Units by Industry
Leopalace21 will pursue strategies of “expanding major business connections” and “cultivating ‘low-use’ business connections” while diversifying industry types of corporate tenants. Approximately 78% of listed companies* in Japan use Leopalace21.
*2,793 out of 3,563 companies listed on the 1stand 2ndsections of the Tokyo Stock Exchange, regional stock exchanges, JASDAQ, Mothers, and Hercules
*Reference of p.49
20.7% 21.5% 21.5% 20.0% 19.0%
10.0% 8.2% 9.7% 11.2% 10.7%
13.8% 13.8% 13.8% 13.2% 13.2%
15.7% 16.2% 15.9% 16.2% 16.3%
6.9% 6.7% 6.4% 6.1% 6.4%
13.3% 13.2% 13.9% 14.7% 15.3%
19.7% 20.4% 18.9% 18.5% 19.0%
181,191 183,743 202,584 219,239 228,854
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
2009/3 2010/3 2011/3 2012/3 2013/3
+1.4%
-19-0 2,000 4,000 6,000 8,000 10,000 12,000
Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar
FY11/3 FY12/3 FY13/3
China S. Korea Taiwan Other
Leased Units by Foreign Nationals (Excluding Corporate Contracts)
China 4
offices
Beijing, Dalian, Shanghai, Guangzhou
South Korea
3 offices
Busan, Seoul Gangnam, Seoul Jongno
Taiwan 1
office Taipei
*Reference of p.50
(Units)
In addition to overseas offices, foreign students can make lease contracts through our “LAM (Leopalace Alliance Members) school.” Foreign tenants recovered to the level before the Great East Japan Earthquake.
Other
Taiwan
S. Korea
0 50 100 150 200 250 300 350 400
Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar
FY11/3 FY12/3 FY13/3
(Offices)
Direct Partners
Leopalace21 will aim for 400 leasing offices including direct offices with 8 overseas. Concerning Leopalace Partners, we will aim for “quality over quantity” and increase contracts through training.
Leasing Offices
*Reference of p.51
(YoY +2) 192
Partners (franchise)
374
8 174 182
Direct offices (YoY +15)
of which, domestic (YoY +15)
of which, overseas (YoY ±0)
Total offices (YoY +17)
-21-1. “My-Collection Plan”
Custom wallpaper for free on 1 wall. Thumbtacks, shelves, and scribbling on the wall is OK
More than 70 types of wallpaper to choose from, including patterns
Change wallpaper on all 4 walls and ceiling with “My-Collection Plus,” starting from November 2012 (fee-charging)
2. “Comfort Plan”
Choose from 4 types of wallpaper with functions such as deodorizing, humidity controlling, and photocatalyst self-cleaning (fee-charging)
Plans of “Room-Customize”
Leopalace21 has started “Room-Customize” as a strategy for acquiring individual tenants, and is bringing a new wave into the rental housing industry. 5,714 contracts as of March 2013.
Contracts (Cumulative total)
4 57 172 342
719 1,108
1,622 2,264
2,869 4,302
5,714
0 1,000 2,000 3,000 4,000 5,000 6,000
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
Orders and Sales of Security Systems
Business alliances with two major security companies
The standard equipment includes fire sensing systems and emergency systems, in addition to sensors that detect intruders
We anticipate an increase in the percentage of female tenants
We are seeking to meet demand for security in corporate housing
(Large companies emphasize security) センターセンター
Problem detected
Call subscriber, alert emergency services if necessary
3. Dispatch 2. Assign dispatch
Control Center Emergency
response
personnel dispatched
1. Telephone circuit alert
Security systems have been installed in 136,107 rooms as of March 31, 2013, equivalent to roughly 25% of Leopalace21
apartments. By the fiscal year ending March 2015 (final year of our medium-term management plan), we plan to install 190,000 security systems (35% installment rate).
20.8 136,107 23.2 153,612
Cumulative total FY13/3
Actual FY12/3
Actual
FY14/3 Plan
Orders
Units 76,809 76,803 47,100
Billion yen 10.5 12.6 11.3
Sales
Units 60,752 75,355 47,500
Owners
Leopalace 21
Leasing
Construction
Tenants
Master
Lease
Rental
Income
Rent
Construction Business
Indicators
Orders and Sales
Offices and Sales by Area
Construction Examples
New Products “Dual-L”, “”Arma-L”
New Products “Smaio”
Non-sound System
Elderly Care Facilities and Stores
Solar Power Systems
Installment Sales
-25-25.8
22.0
18.1
14.2
13.1 15.7 12.3 15.9 11.6 12.8
17.9
23.3
0 10 20 30
1Q 2Q 3Q 4Q
FY11/3 FY12/3 FY13/3 Gross orders (Billion yen)
Orders and Sales (Including Solar Power Systems)
53.1 47.4 73.0 822 Full-year
5.8 58.6 15.7 208
1Q
22.5 47.4 23.3 237
4Q
FY14/3 Full-year
Plan (Billion yen)
FY12/3 FY13/3
1Q 2Q 3Q 4Q Full-year 2Q 3Q
Gross orders received
(Buildings*) 160 115 152 139 566 179 198 1,100
(Billion yen) 13.1 12.3 11.6 12.8 50.0 15.9 17.9 80.1
Orders outstanding
(Billion yen) 115.3 94.8 85.4 54.4 54.4 54.5 53.9 －
Sales
(Billion yen) 7.8 20.8 9.9 21.7 60.5 14.0 10.6 61.1
The environment for Leopalace21’s construction orders have improved since our return to profit last fiscal year. Orders expected to grow from increasing sales personnel and implementing area strategy (building in areas with high occupancy demand).
Tokyo Metropolitan 18,094 Kinki 3,529 Chubu 2,501 Kyushu, Okinawa 3,438 Chugoku 2,261 Other 3,253
Total 54 offices
(As of Apr. 2013) (+2 from Mar. 2013, Kohriyama, Toyota)Tokyo metropolitan: 33 offices Tohoku: 3 offices Chubu: 4 offices Kinki: 7 offices Chugoku: 2 offices Kyushu, Okinawa: 4 offices Shikoku: 0 offices Hokuriku, Koshinetsu: 0 offices Hokkaido: 0 offices North Kanto: 1 office Osaka 4 offices
Kyoto 1 office Hyogo 2 offices
Tokyo 17 offices Kanagawa 6 offices Saitama 8 offices Chiba 2 offices
Construction Offices
Apartment Construction Sales (FY13/3)
(Million yen, excludes solar power systems, completion of construction method)
Tokyo metropolitan area makes up 55% of construction sales
Due to narrowing down areas, the three metropolitan areas (Tokyo, Kinki, and Chubu) make up 73% of construction sales
-27-Apartment with “Double-Lofts”: “DUAL-L”
Apartment for women: “Arma-L”
To celebrate our 40th anniversary, Leopalace21 has announced “Dual-L” in May 2012, an apartment with “lofts,” one of our strong points. Also, to address the needs of female tenants, “Arma-L” was announced in December 2012, with built-in furniture to increase storage space. Equipped with hotel-like wall storage (TV cabinet and closet)
A counter-type kitchen is set up by the window, creating a “bright kitchen”
A dresser with a large mirror is placed in the living space so makeup can be done in a more well-lit environment
The two lofts, combined with the closet, make up a storage area equal to the living space
A steel-frame house with rooms for rent, “Smaio,” was announced in April 2013.
Apartments with Built-in Furniture: “Smaio”
*Figures are images
House with free-design
＋
Rent income from attached apartment
“Smaio” is a combination of a house and an apartment, and rent income can be earned to pay the loans on the house
House section built to the owner’s wishes using a free-design plan, and the apartment section is built based on our products “PROFEED” or “Arma-L”
Wide spaces without pillars possible with “AH method”
AH method is a steel-brace construction method with high-performance powder coating applied to the surface
Maximum 5.4 m (17 feet) of wide-open space without pillars
High sound-insulation High quality noise reduction walls installed between the house and apartment sections
-29-From April 2013, Leopalace21 apartments are standardly equipped with sound-insulating “non-sound system,” including noise reduction walls, soundproof drains, and “non-sound floors” which reduce noise levels by two ranks compared to conventional wooden structures.
Upgraded Sound Insulation with “Non-sound System”
Installed as a measure against drainage noise. Decreases noise by 15 dB compared to conventional models, providing
environments similar to “libraries or midnight suburbs.”
Reduces noise from upper floors. Insulation improved two to three ranks compared to conventional models.
Improved sound-insulation quality of walls, providing TDL-45 for wooden structures and TDL-50 for steel frame structures.
Down
15dB
Construction example Cross section Wooden
TLD-45
Wooden structures
Steel
TLD-50
Steel frame structures V-model
Down
1/3
V-model
Standard
Down
1/2
Standard model
Orders and Sales of Elderly Care Facilities and Stores
Since the latter half of the fiscal year ended March 2012, Leopalace21 has started receiving orders and constructing buildings other than apartments (ie. elderly care facilities, stores).
0.8 24 3.2 32
Orders
FY14/3 Plan FY13/3 Actual
0.1 5 1.6 15
Sales
Orders Sales
Elderly Care Facilities Buildings 26 38
Billion yen 3.4 3.8
Stores Buildings 12 20
Billion yen 0.4 0.6
-31-Orders and Sales of Solar Power Systems
*Reduction in CO2emissions per year
achieved by solar power systems installed:
20,508
t-CO2 per year
1,460,000
Japanese cedars
8.91 million liters of gasoline
= =
Due to the feed-in-tariff scheme for renewable energy taking effect
from July 1, 2012, orders for large solar power systems (capacity
over 10 kW) have increased.
Subsidies of J-PEC (Japan Photovoltaic Expansion Center) will
continue for fiscal year 2013 (for capacity under 10 kW).
Solar power systems installed with owners’ burden on 5,931 apartments (27.1% installment rate), generating capacity 64 MW (equivalent to the energy consumption of 20,000 households) as of March 31, 2013. By the fiscal year ending March 2015 (final year of our medium-term management plan), we plan to install 7,000 solar power systems (30% installment rate).
64,925 kW 34.0 5,931 35.3 6,035
Cumulative total
－
34,437 kW
30,385 kW
Generating capacity
FY13/3 Actual FY12/3
Actual
FY14/3 Plan
Orders
Buildings 3,971 1,974 400
Billion yen 17.3 17.6 2.5
Sales
Buildings 3,814 2,106 430
Creation of a “solar map”
Data from the solar power systems deployed through this project will be plotted on a “solar map”. Public disclosure of this information to local residents will help drive efforts to promote the spread of solar power .
Starting from February 2013, solar power systems will be installed on 67 apartments in Fukushima, creating a 1.2 MW virtual power station (equivalent to the energy consumption of 400 households).
Fukushima Pilot Project Outline
a. “Roof-lease”: Our power generation subsidiary Leopalace Power will rent rooftops from owners and sell the
generated power using the feed-in-tariff scheme for renewable energy.
b. Data analysis: In collaboration with Fujitsu Ltd., data such as power generation capacity, sunlight, and temperature
will be gathered and analyzed for future solar power projects.
c. Experiments: Effect of shadows, direction, and installation angle on power generation; insulation effects of installing
solar panels on roofs, etc.
In addition to the solar power systems installed by the apartment owners’ burden (p31), Leopalace21 will install solar power systems on 67 buildings (1.2 MW) in Fukushima through “roof-leases*,” in which leased rooftops will be used as solar power plants.
Fukushima Pilot Project
Kenmap Souma 5 Minami-souma 3 Date 1 Fukushima 25 Nihonmatsu 4 Motomiya 4 Tamura 1 Kohriyama 13 Sukagawa 1 Iwase 1 Iwaki 9 Locations of Fukushima Virtual Solar Power Plants
©2013 ZENRIN CO., LTD.（Z13LE第390号 ）
発電容量 ： １６．００kW 前日の発電量： １５．７８kWh 先月の発電量：１,５１０．８６kWh 月別年間グラフ
発電容量 ： １６．００kW 前日の発電量： １５．７８kWh 先月の発電量：１,５１０．８６kWh 月別年間グラフ
©2013 ZENRIN CO., LTD.（Z13LE第390号）
©2013 ZENRIN CO., LTD.（Z13LE第390号）
-33-Leopalace21 Corporation
Mitsubishi UFJ Lease & Finance Co. Ltd.
Omron Field Engineering Co.,
Ltd. Apartment owners
Special Purpose Company（SPC）
（Project implementing body）
Electric Power Company
Plan and install Pay rent
Lend roof Monitoring, reporting, maintenance
Secure installment location Install solar power systems Provide funds
Sell power Revenue
Sell power
Revenue 1. From March 2011 (p31)
Start of Solar Power Business
Solar power systems installed by apartment owners’ burden
⇒5,931 buildings installed as of March 2013
2. From September 2012 (p32)
Fukushima Pilot Project
Pilot project in Fukushima utilizing “roof-leased” solar power
⇒67 buildings (1.2MW)
3. From February 2013 (p33)
Roof Mega-solar Project
Nationwide expansion of “roof-leased” solar power
⇒7,000 buildings planned
Roof Mega-solar Project
Mitsubishi UFJ Lease & Finance will provide leases on equipment necessary for solar power generation, Omron Field Engineering will carry out routine maintenance of the systems as well as monitor power generation, and Leopalace21 will install the systems.
SPC (project implementing body) will rent rooftops of apartments under Leopalace21 management from owners, and the power generated will be sold to electric power companies.
Leopalace21 will carry out nationwide expansion of solar power system installments on apartments utilizing “roof-leases*,” and plan to install systems on 7,000 apartments (100 MW, equivalent to the energy consumption of 30,000 households). First stage will be implemented together with Mitsubishi UFJ Lease & Finance Co. Ltd. and Omron Field Engineering Co., Ltd.
Summary of Leopalace21’s solar power
business
Project scheme
-35-*Domestic Hotel Business includes 8 hotels (Asahikawa, Sapporo, Sendai, Niigata, Nagoya, Yokkaichi, Okayama, and Hakata)
Domestic Hotels Business
Results of last fiscal year suffered effects from the Great East Japan Earthquake, but both occupancy rates and earnings for this fiscal year have recovered.
(Million yen) FY12/3
Actual
FY13/3
Actual YoY
FY14/3 Plan
Sales 2,296 2,308 +12 2,300
Operating profit -35 6 +42 -15
Depreciation and amortization 521 434 -86 370
Occupancy rate 72.6% 74.3% +1.7p 74.1%
Hotel Leopalace Sendai
Hotel Leopalace Sapporo
Resort Business (Leopalace Guam)
*Non-consolidated figures for Leopalace Guam
*Fiscal year of Leopalace Guam is from January to December
Results of last fiscal year suffered effects from the Great East Japan Earthquake, but both occupancy rates and earnings for this fiscal year have recovered.
74.5% +8.3p
82.5%
74.2%
Occupancy rate (Westin Resort Guam)
(Million yen) FY12/3
Actual
FY13/3
Actual YoY
FY14/3 Plan
Sales 57,030 70,260 +13,230 66,000
Operating profit -8,630 410 +9,040 2,000
Depreciation and amortization 15,783 16,000 +217 13,000
Occupancy rate (Leopalace Resort) 52.8% 64.0% +11.2p 73.7%
-37-*Elderly Care Business includes 58 “Azumi-en” facilities in Tokyo and 6 prefectures *Private residential homes include Group homes
Elderly Care Business
In accordance to the rise in occupancy rates, gross profit is in the black.89.1% +10.1p
86.3%
76.2%
Occupancy rate
(Private residential homes, etc.)
96.7% -0.3p
96.2%
96.6%
Occupancy rate (Short-stay)
(Million yen) FY12/3
Actual
FY13/3
Actual YoY
FY14/3 Plan
Sales 8,845 9,482 +637 9,400
Gross profit -95 124 +220 200
Operating profit -855 -742 +112 -700
：
South Korean Joint Venture “Woori & Leo PMC”
Leopalace21：50%
Woori：50%
Ownership
Management of leased housing
Operations
Established November 22, 2012
Address Anyang, Gyeonggi Province, South Korea
Capital stock 200 million won
Real Estate Brokerage Services in South Korea and Taiwan
Leopalace21 will expand its leasing business overseas. We will enter the South Korean leased housing market through an establishment of a joint venture with South Korea’s largest residential property management company, as well as start real estate brokerage services in South Korea and Taiwan, targeting Japanese companies.
Establishment of “Woori & Leo PMC”
“Woori & Leo PMC” established with South Korea’s largest residential property management company.
“Exportation” of leasing management know-how
Leopalace21 will enter the South Korean leased housing market, which is expected to experience growth from an increase in 1-2 person households and a shift from “chonse” to “wolse” due to decline in real estate values.
Woori & Leo PMC will provide South Korea’s first systematic leasing management services.
After a six-month preparation period (from November 2012), business expansion will be considered.
*Chonse: residents pay a large deposit to the property owner in lieu of paying monthly rent, which is returned at the end of the contract term *Wolse: similar to leasing agreements found within Japan, where monthly rent paid in addition to a deposit
Woori & Leo PMC Company Profile
Real estate brokerage services for Japanese companies
Leopalace21 will provide support before and after rental contracts for Japanese people and companies looking for housing in South Korea and Taiwan.
Leopalace21 has provided services of referring Japanese properties to foreign tenants, but needs of foreign property brokerage increased from Japanese companies.
Nov. 2012: Services starts in Leopalace Seoul Jongno office
Individuals and Other 27.47%
Business Corporations and Other Legal Entities
7.76% Foreign Corporations 42.79% Financial Institutions 16.40% Financial Instruments Business Operations (Securities Companies) 3.47% Treasury Stocks 2.10% Company Name Leopalace21 Corporation
Head Office 2-54-11 Honcho, Nakano-ku, Tokyo TEL. +81-3-5350-0001 (Main Line) Established August 17, 1973
Paid-in Capital ¥62,867 million
President President and CEO Eisei Miyama
Operations
Construction, leasing and sales of apartments, condominiums, and residential housing; development and operation of resort facilities; hotel business; broadband business; and elderly care business, etc. Number of
Employees
6,277 (consolidated basis) 5,390 (non-consolidated basis)
Corporate Data*
1Shareholder Composition*
1*1: As of March 31, 2013
*2: Increase due to exercise of stock acquisition rights
Stock Information*
1Number of Authorized Shares 500,000,000 Number of Outstanding Shares 217,443,915*2 Number of Shareholders 35,586
Listing Tokyo Stock Exchange First Section Transfer Agent Mitsubishi UFJ Trust and Banking
Corporation
Group Companies*
1Leopalace Leasing Corporation (Leasing Business) LEOPALACE SSI (Small-claims and short-term insurance) (Other business) Plaza Guarantee Co., Ltd. (Leasing Business)
Leopalace Guam Co., Leopalace Travel
Co., Ltd.
(Hotel & Resort Business)
Leopalace21 Business Consulting (Shanghai) Co., Ltd. (Leasing Business) Leopalace Smile Co., Ltd. (Other Business)
L21
Tenants’ furnishings insurance Tenant mediation Corporatehousing agent Rent guarantee
Resort Business Special subsidiaries Woori & Leo PMC
(New Business) Leopalace Power (New Business) Leasing mgmt Power generation
-41-Quarter Comparison
(Million yen)
4Q Jan – Mar 3Q
Oct – Dec 2Q
Jul – Sep 1Q
Apr – Jun
-375 -323 3,364 410 2,384 2,633 1,818 22,628 97,307 124,388 FY13/3 Actual -154 -248 -21 4,110 3,131 2,675 1,691 10,747 94,721 109,836 FY13/3 Actual -120 -116 -1,551 922 -1,421 2,625 1,816 5,910 96,097 106,449 FY13/3 Actual -56 -317 955 3,243 3,319 2,685 1,331 14,083 95,447 113,548 FY13/3 Actual FY14/3 Plan FY14/3 Plan FY14/3 Plan FY14/3 Plan
Sales 106,500 120,500 111,200 129,100
Leasing 95,900 96,300 96,600 100,100
Construction 6,200 19,900 10,200 24,500
Hotels & Resort 1,700 1,600 1,600 1,700
Elderly Care & Others 2,600 2,600 2,600 2,600
Operating profit -500 5,300 2,200 7,200
Leasing 2,300 3,900 4,100 4,600
Construction -1,800 2,400 -800 3,800
Hotels & Resort -100 -200 -200 -100
(Million yen) FY12/3 Actual
FY13/3 Plan
FY13/3
Actual YoY Plan
Leopalace21
Sales 453,304 457,100 448,266 -5,037 -8,834
Operating profit 4,283 6,900 6,776 +2,493 -124
Recurring profit 2,132 4,900 9,426 +7,294 +4,526
FX gain (loss) - 112 0 563 +676 +563
Leopalace Guam
Sales 4,551 5,100 5,608 +1,057 +508
Operating profit - 688 - 100 32 +721 +132
Recurring profit - 1,151 - 90 5,078 +6,230 +5,168
FX gain (loss) - 466 0 5,043 +5,510 +5,043
Domestic Subsidiaries*
Sales 6,688 7,600 6,892 +203 -708
Operating profit 961 1,200 635 -326 -565
Recurring profit 973 1,200 761 -212 -439
Others & Exclusions
Sales - 5,107 - 5,900 - 6,545 -1,437 -645
Operating profit 29 0 - 31 -60 -31
Recurring profit 395 0 - 4,175 -4,570 -4,175
*Domestic subsidiaries include Leopalace Leasing, LEOPALACE SSI, Plaza Guarantee, and Leopalace Travel
-43-31.7 31.7 31.7 32.2 32.6
13.9 (+1.0) 12.9 (-2.6) 15.6 (-2.1) 17.7 (-1.4) 19.2 (-2.7) 21.9 (-4.5) 26.4 (-3.6) 30.1 (-2.4) 0 20 40
2010/3 2010/6 2010/9 2010/12 2011/3 2011/6 2011/9 2011/12 2012/3 2012/6 2012/9 2012/12 2013/3
Reserve by Area
Occupancy Rate
Reserve for Apartment Vacancy Loss
13.9 0.4 0.2 0.3 1.7 4.9 1.5 2.5 1.4 0.1 0.5 2013/3 12.9 0.4 0.3 0.4 1.3 5.0 1.3 2.0 1.2 0.1 0.4 2012/12
(Billion yen, %) 2011/6 2011/9 2011/12 2012/3 2012/6 2012/9 Compared
to 2012/3 2012/3 2013/3
Compared to 2012/3
Hokkaido 1.3 1.2 1.1 0.7 0.6 0.5 -0.2 75% 75% 0p
Tohoku 0.8 0.5 0.2 0.1 0.1 0.1 0.0 93% 93% 0p
North Kanto 2.8 2.4 1.9 1.9 1.7 1.5 -0.5 81% 80% -1p
Tokyo Metropolitan 2.2 1.9 1.5 2.7 2.6 2.3 -0.2 85% 88% +3p
Hokuriku, Koshinetsu 2.1 1.7 1.5 1.7 1.7 1.6 -0.1 78% 78% -1p
Chubu 12.5 11.1 9.5 8.0 7.2 6.1 -3.1 80% 81% +1p
Kinki 4.9 4.3 3.6 2.0 1.8 1.6 -0.2 84% 85% +1p
Chugoku 1.0 1.0 0.8 0.6 0.6 0.5 -0.3 86% 87% +1p
Shikoku 0.6 0.6 0.5 0.3 0.3 0.3 -0.1 78% 82% +3p
Kyushu, Okinawa 1.4 1.2 0.9 0.6 0.6 0.5 -0.1 86% 88% +3p
Total 30.1 26.4 21.9 19.2 17.7 15.6 -5.2 83.4% 84.8% +1.4p
(Billion yen)
Reversal in the reverse for apartment vacancy loss for the fiscal year ended March 2013 was ¥5.2 billion (compared to forecast of ¥2.5 billion) due to “profit improvement” and “passage of remaining periods.”
Reversal forecast for the fiscal year ending March 2014 is ¥2.5 billion.
(Million yen) FY12/3 FY13/3
Cash and cash equivalents 41,477 56,681
Trade receivables 4,541 4,360
Accounts receivables for
completed projects 1,004 2,231
Prepaid expenses 18,997 12,772
Current assets 83,061 90,896
Buildings and structures 55,116 54,740
Land 82,105 80,780
Leased assets 2,906 1,798
Intangible assets 7,079 6,613
Long-term prepaid expenses 18,295 8,127
Fixed assets 181,659 170,705
Total assets 264,783 261,649
31,500
2,040
Interest-bearing debt (long-term)
(Million yen) FY12/3 FY13/3
Interest-bearing debt (short-term) 46,265 15,374
Advances received* 58,301 49,036
Current liabilities 145,524 105,144
Reserve for apartment vacancy loss 19,207 13,950
Lease/guarantee deposits received 9,853 8,984
Long-term advances received* 42,680 32,357
Long-term liabilities 85,427 98,353
Total liabilities 230,951 203,498
Common stock 56,562 62,867
Capital surplus 33,883 39,424
Retained earnings -44,963 -31,018
Total net assets 33,831 58,151
Shareholders’ equity ratio 12.8% 22.2%
FY13/3 Balance Sheets
-45-40.3
56.4
39.8
48.3 46.8
78.3
72.4
40.6 41.4
56.6
-0.23
-0.02
0.20
-0.26
-0.17
0 10 20 30 40 50 60 70 80 90 100
FY09/3 FY10/3 FY11/3 FY12/3 FY13/3
(Billion yen)
-0.30 -0.20 -0.10 0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 (Ratio)
Interest-bearing debt Cash Net DE ratio
：
NDE Ratio
9.1
6.0 7.2
-3.5 -3.1
13.1
-0.0
56.3
40.8
-28.3 -15.8
40.4
-20 -10 0 10 20
Cash and cash equivalents at end of period Cash flows from
financing activities Cash flows from
investing activities Cash flows from
operating activities
Cash Flows
Cash flows from operating activities improved ¥9.2 billion year-on-year, and turned positive for the first time in four years.
*12.6 billion yen of funds raised from completion of exercise of stock acquisition rights (all 3 series) on March 27, 2013.
FY11/3 Full-year FY12/3 Full-year FY13/3 Full year -40
-30
(31.6%) (24.1%)107 (22.6%)104
114 (23.8%) 94 (20.2%) 0 50 100 150 200 250 300 350 400 450 500
'05/3 '06/3 '07/3 '08/3 '09/3 '10/3 '11/3 '12/3 '13/3
Monthly General (Thousand units) Business trips 52.1% Other 4.1% Student dorms 1.2% Training 2.7% Corp. dorms 10.2% General usage 29.8%
Tenants by Contract Type
Breakdown of Users of Monthly Contracts
Occupancy by Group
13.4% 60,342 38.9% 174,953 47.7% 214,450 82.5% 449,745 546,561 3Q 13.3% 60,865 39.4% 180,365 47.4% 217,034 82.9% 458,264 551,287 2Q 13.4% 61,667 39.3% 181,047 47.3% 217,517 82.2% 460,231 556,546 1Q FY13/3 12.6% 58,375 38.0% 176,139 49.4% 228,708 84.2% FY 82.9% 463,222 546,204 4Q FY11/3 FY12/31Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
Units under management 559,241 562,923 568,829 571,656 571,068 571,908 561,084 556,207
A. Occupied units 442,292 449,085 453,411 478,438 461,846 463,509 451,925 463,877
Occupancy rate (average) 79.9% 79.0% 79.2% 82.2%
FY 80.1% 80.9% 80.7% 80.6%
82.6% FY 81.2%
B. Corporate-occupied units 178,259 183,786 184,415 202,584 199,441 204,279 204,415 219,239
Corporate share (B / A) 40.3% 40.9% 40.7% 42.3% 43.2% 44.1% 45.2% 47.3%
C. Individual-occupied units 195,860 196,580 198,070 203,539 195,089 192,874 182,004 180,186
Individual share (C / A) 44.3% 43.8% 43.7% 42.5% 42.2% 41.6% 40.3% 38.8%
D. Student-occupied units 68,173 68,719 70,926 72,315 67,316 66,356 65,506 64,452
Students share (D / A) 15.4% 15.3% 15.6% 15.1% 14.6% 14.3% 14.5% 13.9%
-49-37,516 39,596 43,613 43,942 43,472 18,057 15,093 19,638 24,632 24,570
24,976 25,288 27,869
28,869 30,218
28,465 29,725 32,157
35,601 37,380 12,470 12,332 12,872 13,445 14,710 24,072 24,306 28,074 32,223 35,096 35,635 37,403 38,361 40,527 43,408 181,191 183,743 202,584 219,239 228,854 0 50,000 100,000 150,000 200,000 250,000
2009/3 2010/3 2011/3 2012/3 2013/3 (Units) Other Construction Food service Services Staffing, outsourcing Manufacturing Retail YoY YoY
Occupied Units by Industry
Leopalace21 will purse strategies of “expanding major business connections” and “cultivating ‘low-use’ business connections” while diversifying industry types of corporate tenants.
+8.9% +9.4% +5.0% +4.7% -0.3% -1.1% +7.1%
Units Occupied by Foreign Tenants (General Contracts)
8,423 2,123 640 1,489 4,171
3Q
8,321 2,155 627 1,490 4,049
2Q
8,206 2,060 675 1,533 3,938
1Q
FY13/3
9,517 2,367 652 1,463 5,035
4Q (Units)
FY11/3 FY12/3
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
China 2,868 3,499 3,817 4,115 3,644 3,605 3,536 3,993
South
Korea 2,372 2,393 2,516 2,024 1,636 1,575 1,614 1,565
Taiwan 956 970 1,007 925 707 735 744 737
Other 1,531 1,697 1,847 1,996 1,851 1,782 1,805 1,956
-51-：
Partner and Direct Offices, and Contracts by Partners
Leopalace21 will aim for 400 leasing offices including Partner and direct offices, with 8 overseas.9,329
367
172 195
3Q
12,422
366
174 192
4Q FY13/3
FY11/3 FY12/3
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q
Partner offices 2 42 73 121 136 158 180 190 197 201
Direct offices (domestic) 180 166 162 156 155 155 158 159 159 165
Total leasing offices 182 208 235 277 291 313 338 349 356 366
95.6% 95.6%
90.3%
95.5% 93.2% 93.8%
90.7% 94.3% 94.3%
91.4% 88.5% 89.8%
81.8% 90.6% 86.6% 85.1% 90.2% 87.4% 88.3% 95.3%
94.5% 94.4% 95.1%
87.5%
94.8%
92.1% 93.5% 91.3% 94.0% 93.6%
70% 80% 90% 100%
Tokyo Saitama Kanagawa Chiba Tokyo Metro
Aichi Osaka Kyoto Hyogo 3-metro areas
Under 3 years Under 5 years Total 96.3%
87.9% 89.3% 90.5% 90.5% 86.2%
77.4% 75.9% 84.8%
0% 20% 40% 60% 80% 100%
1 year 2 years 3 years Under 3 years
Under 5 years
5-10 years 10-15 years Over 15 years
Total
Occupancy Rates by Building Age (As of March 31, 2013)
-53-0% 50% 100%
Individuals and other 60.7% 58.6% 43.3% 44.3% 35.2% 35.3% 33.2% 30.4% 27.5%
Foreign corporations 11.3% 14.6% 27.8% 23.3% 35.2% 34.6% 34.3% 34.7% 42.8%
Trust banks 4.9% 4.7% 8.4% 8.6% 8.3% 7.9% 11.8% 12.7% 12.8%
Financial institutions other than trust banks 3.8% 3.4% 3.4% 3.7% 3.4% 3.7% 3.3% 3.7% 3.6%
Business corporations and other legal entities 14.1% 13.4% 13.0% 13.0% 12.7% 12.7% 12.3% 11.8% 7.8%
Securities companies 2.6% 2.8% 1.4% 4.5% 2.7% 3.1% 2.6% 4.3% 3.5%
Treasury stock 2.6% 2.6% 2.6% 2.6% 2.6% 2.6% 2.5% 2.4% 2.1%
2011/3 2011/6 2011/9 2011/12 2012/3 2012/6 2012/9 2012/12 2013/3
Shareholder Composition
-55-The figure below illustrates action plans for Leopalace21’s business segments during the new medium-term management plan.
FY 2013/3
Create a foundation for growth
Establishment of earnings structure
Enhance channels
Establish a framework for operating profitability excluding the reversal of reserve for apartment vacancy loss
FY 2014/3 FY 2015/3
New growth stage
Further development as a high earning business
Maximum of 570,000 managed apartment units, increased competitiveness of owner-managed properties or buildings
Enhance service for tenants
Security systems installed in 35% of managed units (10% as of March 31, 2012)
Initiatives in new areas
Expand orders in areas where high occupancy rate is predicted
Expand orders other than master lease system apartments (elderly care facilities, stores)
Establishment of products and business areas that will form new earnings base
A larger variety of buildings
(energy-saving features, geared to the elderly, stores, etc.)
Solar power systems installed in 30% of managed units (18% as of March 2012)
Client retention
Client retention
Maximize earnings
Maximize earnings by streamlining operations and management framework, and strengthening collaboration
Cost options and centralization/Growth strategy initiatives
Making strategic cost investments while maintaining low cost structure (personnel costs, advertising costs, sales promotion costs)
Initiatives for new businesses
Leopalace21 forecasts an increase in operating profit, especially in the Leasing Business, while sales remain flat.
730 82.9% 5.1% 74.5 29.0% 22.2% 581 133 110 -7 -10 27 86 74 106 66 533 3,835 4,542
Actual
FY 2015/3 FY 2014/3
FY 2013/3 FY 2012/3
(Billion yen)
Actual Plan Plan Plan
Sales 4,594 4,639 4,674 4,765
Leasing 3,803 3,866 3,890 3,915
Construction 629 602 611 674
Hotels & Resort 62 66 67 68
Elderly Care & Others 99 103 105 107
Operating profit 45 80 141 169
Leasing 52 95 150 161
Construction 43 30 35 51
Hotels & Resort -16 -10 -7 -6
Elderly Care & Others -8 -7 -6 -5
Recurring profit 23 61 122 151
Net income 15 55 110 135
Equity 338 428 580 765
Shareholders’ equity ratio 12.8% 17.0% 23.1% 29.5%
ROE 4.8% 14.3% 21.8% 20.0%
EPS (yen) 9.4 29.2 54.2 62.4
ROA 0.6% 2.2% 4.4% 5.2%
Average occupancy rate 81.2% 83.0% 85.0% 85.8%
Gross orders 500 768 801 789
-57-300,000 400,000 500,000 600,000
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
FY 09/3 (Actual)
FY 10/3 (Actual)
FY 11/3 (Actual)
FY 12/3 (Actual)
FY 13/3 (Actual)
FY 14/3 (Plan)
FY 15/3 (Plan)
30% 40% 50% 60% 70% 80% 90% 100%
Occupied units Vacant units New units Occupancy rate
By improving the quality and competitiveness of our apartments, we aim to decrease vacancies and increase profits, while maintaining the number of units under management.
Units Under Management and Occupancy Rates
(Units) (Occupancy rate)
-59-1,6631,6731,665
1,343 1,420
1,5101,5611,485 1,630
1,341
1,1801,2261,2131,1731,1461,1741,193
1,2491,285
1,0361,039
775 819 841
893
0 200 400 600 800 1,000 1,200 1,400 1,600 1,800
88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 (Thousand units)
Leased units Condominiums House for sale Owner-occupied houses Company housing
New Housing Starts by Fiscal Year (April to March)
Sales tax increased from 3% to 5% in April 1997
Leased units starts +9.3% yoy, total housing starts +9.8% yoy in FY1996 Leased units starts -16.3% yoy, total housing starts -17.7% yoy in FY1997
Sales tax was raised from 3% to 5% in April 1997, in which new housing starts of leased units increased 9.3% yoy (FY1996) and decreased 16.3% yoy in the following year (FY1997).
445
311
292 290
321
117
60
39 31 31
0 50 100 150 200 250 300 350 400 450 500
2008 2009 2010 2011 2012
Leased units Leased units under 30㎡
New Housing Starts of Leased Units by Fiscal Year (April to March)
After the Lehman collapse, leased units starts were decreasing, but figures for fiscal year ended March 2013 increased year-on-year for the first time in four year-on-years.
*Excerpted from “Housing Start Statistics” (Ministry of Land, Infrastructure and Transport)
-61-14,457 16,785 17,637 18,270 18,648 18,718 18,457
9,637
10,269 10,861 11,037
10,973 10,782 10,500
14,646
14,474 14,274 13,814 13,132 12,340 11,532 4,112
4,535 4,982 5,338 5,558 5,648 5,645
6,212
5,779 5,150 4,594 4,127 3,743 3,421
49,063
51,842 52,904 53,053 52,439 51,231
49,555 0 10,000 20,000 30,000 40,000 50,000 60,000
2005 2010 2015 (E) 2020 (E) 2025 (E) 2030 (E) 2035 (E)
Singles Married couples
Married couples with child Single parents with child Others
(27.6%) (32.4%) (33.3%) (34.4%) (35.6%) (36.5%) (37.2%)
5,148 5,059 4,674 4,417
4,201 3,956 3,662
5,444 6,746 6,956 7,175 7,441 7,464
7,172 3,865
4,980 6,008 6,678
7,005 7,298
7,622
14,457
16,785 17,637
18,270 18,648 18,718 18,457
0 5,000 10,000 15,000 20,000
2005 2010 2015 (E) 2020 (E) 2025 (E) 2030 (E) 2035 (E)
under 35 35 - 64 over 65
*Excerpted from “Future Estimates of Households in Japan” (2013, Institute of Population Problems)
Number of General Households by Family Category
Number of Single-person Households by Age
Number of general households are predicted to decrease, but single-person households, which are Leopalace21’s main targets, are expected to increase, especially in the age group over 35.1,834
2,336
2,619
3,520
3,978
4,476
17.4%
18.8%
20.1%
14.3%
12.4%
14.3%
0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 5,000
1983 1988 1993 1998 2003 2008
0% 5% 10% 15% 20% 25%
Number of vacant houses for rent or sale (left axis) Vacancy rate (right axis)
Number of vacant rental housing and vacancy rate in Japan
*Excerpted from “Housing and Land Survey” (Ministry of Internal Affairs and Communications)
Vacancy in Japan’s rental housing has been increasing consistently. Since nationwide recovery in demand is not desirable, strategies such as building apartments in areas where high occupancy rates are expected, developing competitive products, and reducing costs by reviewing apartment management duties are crucial.
