Nomura Real Estate Holdings

Basic Information

Stock Code
3231
Industry
Real Estate
Category Detail
Real Estate & Housing
Prefecture
Tokyo
Establishment Year
June 2004
Listing Year
October 2006
Official Website
https://www.nomura-re-hd.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Columbia Works, Daiwa House Industry, Hulic, Tokyu Fudosan Holdings, Miyakoshi Holdings, Mitsui Fudosan, Mitsubishi Estate, Tokyo Tatemono, Sumitomo Realty

Overview

Nomura Real Estate Holdings is a comprehensive real estate holding company established in 2004, headquartered in Tokyo, and a leading industry player engaging in multifaceted real estate development and operations such as for-sale condominiums and offices.

Current Situation

Nomura Real Estate Holdings recorded consolidated sales of approximately ¥734.7 billion and operating profit of approximately ¥112.1 billion for the fiscal year ended March 2024, maintaining a stable financial base. Its flagship for-sale condominium brand 'PROUD' boasts strong brand power and is strengthening sales mainly in the Tokyo metropolitan area. Office leasing and commercial facility leasing are also performing steadily as a revenue base, centered in Tokyo. In terms of innovation, it incorporates advanced technologies for urban redevelopment projects and reducing environmental impact. In sustainability, it focuses on promoting energy-efficient buildings and community contribution activities, aiming for sustainable growth by 2030. As a medium- to long-term strategy, it strengthens value creation in urban development while responding to diversifying customer needs, and is expanding real estate investment advisory services and REIT-related businesses. Recently, it has expanded asset management business through collaboration with Nomura Holdings and is working to secure new revenue sources.

Trivia

Interesting Facts

  • 'PROUD' is a highly acclaimed for-sale condominium brand in Japan.
  • The Nomura Real Estate Group is a comprehensive real estate company with diverse related businesses.
  • Operates 41 consolidated subsidiaries nationwide for multifaceted business expansion.
  • Sports club operator MEGALOS is also part of the group.
  • Numerous overseas subsidiaries operating in various Asian locations.
  • Listed on the Tokyo Stock Exchange First Section in 2006.
  • Holds one of the largest track records in real estate investment advisory in Japan.
  • Nomura Holdings is the major shareholder, strengthening collaboration.
  • Nakano Sun Plaza redevelopment plan scrapping has been a topic.
  • Demonstrates stable performance with consolidated sales exceeding ¥700 billion.
  • Service lineup focused on diverse customer segments.
  • Actively promoting initiatives to reduce environmental impact.
  • Highly evaluated real estate marketing capabilities in the industry.
  • Expanding customer base through diverse sales channels.
  • Headquarters located at Shinjuku Nomura Building in Tokyo's Shinjuku.

Hidden Connections

  • Close capital ties with Nomura Holdings serve as a driving force for corporate growth.
  • Expanding into sports and welfare-related businesses through subsidiaries.
  • Involved in numerous major Tokyo redevelopment projects as a group.
  • Possesses extensive know-how in domestic and international real estate fund operations.
  • Strong collaboration with local communities enabled by diverse business structure.
  • Pioneering introduction of energy-saving architecture technologies in the domestic real estate market.
  • Senior housing business collaborates with regional welfare as a growth area.
  • Opening new markets with sales strategies blending online and in-person.

Future Outlook

Growth Drivers

  • Increasing demand for high-quality housing in urban areas
  • Expansion of focus on environmentally considerate and energy-saving architecture
  • Diversification and expansion of investment-type real estate products
  • Growth in senior market housing and services
  • Efficiency gains in real estate operations via digital technologies
  • Activation of redevelopment projects
  • Growing demand for domestic and international asset management
  • Multi-channel expansion for new customer acquisition
  • Rising awareness of environment, society, and governance (ESG)
  • Increasing demand for sports facilities due to health trends

Strategic Goals

  • Achieve over 80% ratio of energy-saving buildings
  • Realize enhanced environmental value of real estate assets
  • Double sales in senior housing business
  • Strengthen asset management services domestically and internationally
  • Expand urban redevelopment projects
  • Establish sustainable business model
  • Promote digital transformation
  • Maintain customer satisfaction above 90%
  • Achieve annual sales exceeding ¥1 trillion
  • Obtain ESG-related certifications for all major businesses

Business Segments

Real Estate Development and Planning

Overview
Promotes diverse land utilization and real estate development reflecting market needs.
Competitiveness
Planning expertise and track record in large-scale redevelopment
Customers
  • Real estate investors
  • Urban development organizations
  • Local governments
  • Major corporations
  • Commercial facility operators
Products
  • For-sale housing land development
  • Urban redevelopment projects
  • Commercial facility planning
  • Office building planning and construction
  • Asset value enhancement plans

Real Estate Leasing Management

Overview
Provides management services aimed at maximizing revenue from owned assets and stable operations.
Competitiveness
High tenant satisfaction through superior operations management
Customers
  • Office building owners
  • Commercial facility operators
  • Building management companies
  • Investment corporations
  • Corporate tenants
Products
  • Office leasing management
  • Commercial facility operation support
  • Real estate asset management
  • Tenant management
  • Building maintenance

Real Estate Investment Advisory Services

Overview
Delivers advanced investment management services tailored to diversifying investment needs.
Competitiveness
Extensive operational track record and asset valuation expertise
Customers
  • Institutional investors
  • Pension funds
  • Private equity funds
  • Individual investors
  • Public funds
Products
  • J-REIT operations
  • Private REIT management
  • Overseas real estate investment advice
  • Discretionary asset management
  • Risk analysis

Building Management and Maintenance

Overview
Provides total maintenance to maintain building safety and comfort.
Competitiveness
Nationwide network support system
Customers
  • Condominium owners' associations
  • Building management companies
  • Facility operators
  • Construction companies
  • Corporate owners
Products
  • Daily building management
  • Equipment maintenance inspections
  • Asset preservation repairs
  • Long-term repair plans
  • Environmental safety management

Sports Facility Operations

Overview
Contributes to community health promotion through sports club operations meeting diverse needs.
Competitiveness
High customer satisfaction via the MEGALOS brand
Customers
  • Local governments
  • Sports clubs
  • Fitness facility operators
  • Corporate welfare facilities
  • Individual members
Products
  • Comprehensive fitness club operations
  • Membership program planning
  • Facility management and operations
  • Event planning
  • Health promotion services

Senior Housing and Welfare Services

Overview
Provides housing and welfare services responding to the needs of an aging society.
Competitiveness
Multifaceted services integrating real estate and welfare
Customers
  • Seniors
  • Care managers
  • Local governments
  • Medical institutions
  • Welfare facilities
Products
  • Service-attached housing for the elderly
  • Care plan provision
  • Mobility support services
  • Daily living support services
  • Community collaboration support

Hotel Operations and Management

Overview
Meets diverse needs with high-quality services at urban-type hotels.
Competitiveness
Trust and service quality backed by the Nomura brand
Customers
  • Lodging guests
  • Travel agencies
  • Corporate contract clients
  • Event organizers
  • Restaurants
Products
  • Lodging services
  • Conference and banquet hall operations
  • Restaurant services
  • Guest room management
  • Marketing support

Real Estate Marketing and Advertising

Overview
Supports real estate sales with effective marketing.
Competitiveness
Industry-specific know-how and extensive track record
Customers
  • Real estate developers
  • Advertising agencies
  • Sales agents
  • Investment corporations
  • End users
Products
  • Digital marketing
  • Sales promotion planning
  • Event hosting
  • Brand strategy
  • Customer analysis

Overseas Real Estate Business

Overview
Engages in real estate development and investment management in overseas markets.
Competitiveness
Extensive business experience in Asia
Customers
  • Overseas investors
  • Corporate clients
  • Real estate brokers
  • Hotel operators
  • International organizations
Products
  • Asian real estate development
  • Asset management services
  • Market research
  • Investment advice
  • On-site support

Environment and Energy-Related Business

Overview
Provides real estate-related solutions aimed at reducing environmental impact.
Competitiveness
Industry expertise in environmental technology and consulting
Customers
  • Real estate owners
  • Local governments
  • Corporations
  • Facility management companies
  • Energy companies
Products
  • Energy-saving solutions
  • Building energy management
  • Environmental consulting
  • Renewable energy introduction
  • Environmental certification support

Facility Operation Support Services

Overview
Provides services supporting efficient facility operations and safety.
Competitiveness
Customization capabilities across a wide range of fields
Customers
  • Condominium owners' associations
  • Building owners
  • Commercial facility operations
  • Medical and educational institutions
  • Public facilities
Products
  • Operations consulting
  • Staff dispatching and management
  • Safety management support
  • Disaster prevention planning
  • Equipment management

Asset Management and Fund Operations

Overview
Aims to maximize customer assets through diverse real estate fund operations.
Competitiveness
Advanced asset valuation and investment expertise
Customers
  • Institutional investors
  • Urban development operators
  • Fund managers
  • Investment corporations
  • Individual investors
Products
  • Real estate fund formation
  • Asset management and valuation
  • Risk management
  • Financial reporting
  • Investor relations

Competitive Advantage

Strengths

  • Strong brand power of 'PROUD'
  • Diversified business portfolio
  • Extensive development track record in the Tokyo metropolitan area
  • Stable revenue from leasing business
  • Strength in asset management and investment advisory
  • Comprehensive capabilities through a robust group of subsidiaries
  • Advanced urban redevelopment planning
  • Long-term financial stability
  • Focus on sustainability
  • Collaboration with Nomura Holdings
  • Strong relationships with local communities
  • Diverse customer base
  • Adoption of advanced construction technologies
  • Partial promotion of global expansion
  • Wide range of sales channels

Competitive Advantages

  • Top market share in urban high-quality housing
  • Differentiated product strength in office leasing and redevelopment
  • High expertise in asset management including REIT operations
  • Integrated service provision enabled by broad subsidiaries
  • Competitive edge established through environmentally considerate architecture
  • Diverse product development responding to customer needs
  • Stable support base from Nomura Holdings
  • Development track record and reliability in large-scale redevelopment
  • Community-building capabilities rooted in regions
  • Asset value maximization strategy through collaboration with investment corporations
  • Revenue diversification via non-traditional businesses like sports clubs
  • Improved operational efficiency through active adoption of latest technologies
  • High-quality condominium management services
  • Flexibility to respond to domestic and international real estate market trends
  • Advanced real estate marketing capabilities

Threats

  • Real estate market price fluctuation risks
  • Regulatory tightening and administrative response risks in urban development
  • Profit pressure from surging construction materials and labor costs
  • Asset value decline risks from land price fluctuations
  • Changes in housing demand due to population decline and aging
  • Aggressive development investments by competitors
  • Real estate asset damage risks from natural disasters
  • Business continuity risks from deteriorating funding environment
  • Increased compliance costs for stricter environmental regulations
  • Uncertain economic conditions in overseas markets
  • Tenant withdrawal and vacancy risks
  • Decline in competitiveness from delayed response to technological innovations

Innovations

2024: Expansion of Urban Redevelopment Projects

Overview
Promoting regional revitalization through large-scale redevelopment in Tokyo's Hamamatsucho.
Impact
Contributes to regional value enhancement and long-term stable revenue

2023: Introduction of Environmentally Considerate Architecture Technologies

Overview
Adopting energy-saving and decarbonization technologies to strengthen sustainability.
Impact
Reduces building environmental impact and enhances brand value

2022: Strengthening Real Estate Investment Management Services

Overview
Expanding operations framework for domestic and international REITs and private funds.
Impact
Contributes to customer base expansion and revenue diversification

2021: Development of IoT-Utilizing Smart Building Management System

Overview
Introducing systems for efficient facility management and energy savings.
Impact
Reduces operating costs and provides comfortable environments

2020: Launch of Healthcare-Linked Senior Housing Services

Overview
Expanding senior housing combining medical collaboration and daily support.
Impact
Enhances resident satisfaction and differentiation

Sustainability

  • Promotion of decarbonized buildings and environmental impact reduction
  • Promotion of resource-recycling construction materials
  • Community revitalization through collaboration with local society
  • Building energy efficiency improvement projects
  • Enhancing employee environmental awareness and education
  • Promotion of renewable energy adoption
  • Application of ecology management systems
  • Strengthening regional disaster response collaboration
  • Participation in sustainable finance
  • Company-wide promotion of Sustainable Development Goals (SDGs)
  • Waste reduction and recycling promotion
  • Visualization of CO2 emissions and reduction planning