KOSE R.E.

Basic Information

Stock Code
3246
Industry
Real Estate
Category Detail
Real Estate & Housing
Prefecture
Fukuoka Prefecture
Establishment Year
August 1992
Listing Year
August 2007
Official Website
https://www.kose-re.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
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Overview

KOSE R.E. is a Fukuoka-based real estate company founded in 1992, specializing in the planning, development, and sales of condominiums, achieving stable growth through a regionally focused approach.

Current Situation

KOSE R.E. maintained solid management in the fiscal year ending January 2024, with consolidated sales of approximately ¥10.1 billion and operating profit of about ¥1.6 billion. Centered in Fukuoka City, it develops and sells mid-sized properties under brands like 'Grand Foret.' It also handles rental management to meet local real estate needs. In recent years, it has expanded its revenue base through its subsidiary KOSE Asset Plan and is listed on the Fukuoka Stock Exchange and the Tokyo Stock Exchange Standard Market. Following a 2019 subsidiary scandal, it has strengthened its internal controls. Moving forward, backed by stable growth in the Fukuoka metropolitan real estate market, it aims for sustainable growth and improved profitability. Leveraging its regionally rooted management foundation, it strives to enhance quality and services. Long-term strategic goals include further brand expansion and broadening its customer base.

Trivia

Interesting Facts

  • Company name derives from Chinese 'Kosei' meaning 'light salvation.'
  • No relation whatsoever to cosmetics company KOSE.
  • Strength in mid-sized condominium development focused on Fukuoka metro.
  • Significantly strengthened internal management following 2019 subsidiary scandal.
  • Rooted in the region through customer-focused sales and management services.
  • One of few local real estate firms listed on both TSE and Fukuoka SE.
  • President is the largest shareholder among main shareholders.
  • Consolidated employee count of 81 enables high-efficiency operations despite small scale.
  • Condominium brand 'Grand Foret' has high local recognition.
  • Tokyo branch for gathering capital area info and strengthening sales.
  • Approximately 30 years of track record since starting condominium sales.
  • Listed on Fukuoka Stock Exchange in 2007 inaugural year, deeply rooted regionally.
  • Regionally focused firm targeting mid-sized condominiums.
  • Increased attention on Tokyo market since TSE listing change in 2016.
  • Established comprehensive real estate services via group subsidiaries.

Hidden Connections

  • Built strong funding relationships with Fukuoka's local financial institutions.
  • Close collaboration with small landowners characteristic in property management.
  • Expanded recognition through active PR at regional events and real estate fairs.
  • Subsidiary KOSE Asset Plan is a strong pillar in rental management.
  • Consistent business expansion centered on Fukuoka metro since founding.
  • Rare existence as regionally specialized form compared to other TSE-listed real estate firms.
  • Post-scandal response highly evaluated, showcasing governance strengthening locally.
  • High shareholding ratio by president ensures management consistency.

Future Outlook

Growth Drivers

  • Fukuoka metro population growth and urban redevelopment demand
  • Stable demand environment for mid-sized housing market
  • Strengthening regionally focused condominium brands
  • Increasing needs for rental housing management services
  • Market expansion from government regional relocation promotion policies
  • Promotion of energy-saving tech introduction in new condominiums
  • Business efficiency via IT utilization
  • Strengthened collaboration with local financial institutions
  • Further improvements in environmental and safety standards
  • Brand value enhancement through community collaboration
  • Expanding demand for renovations of aging properties
  • Increasing demand for real estate-related consulting

Strategic Goals

  • Expand Grand Foret brand to northern Kyushu area
  • Raise rental management revenue ratio to 30%
  • Fully strengthen internal controls and compliance system
  • Achieve 70% ratio of new environmentally considerate condominiums
  • Realize annual sales of ¥15 billion scale
  • 100% digitalization of business processes via IT
  • Launch numerous community collaboration projects
  • Set targets for reducing environmental impact in construction materials
  • Develop product lineup accommodating diverse customer segments
  • Maintain turnover rate below 10% by improving employee work environment

Business Segments

Condominium Development and Construction

Overview
Provides integrated services from planning and design to construction for condominium development.
Competitiveness
Regional needs-focused development expertise specialized in provincial cities
Customers
  • Landowners
  • Real estate investors
  • Developers
  • Construction companies
  • Design offices
  • Financial institutions
Products
  • Condominium planning and design
  • Development permits acquisition
  • Construction management
  • Land use planning
  • Project management

Rental Management and Operations Services

Overview
Delegates operational management and recruitment for rental properties to support stable operations.
Competitiveness
Prompt and meticulous response through regional closeness
Customers
  • Landowners
  • Apartment owners
  • Real estate owners
  • Asset management companies
Products
  • Tenant recruitment
  • Rent management
  • Building management
  • Contract agency
  • Trouble response

Real Estate Consulting

Overview
Provides management and investment consulting services related to real estate.
Competitiveness
Precise proposals based on deep regional market knowledge
Customers
  • Landowners
  • Investors
  • Corporate clients
  • Financial institutions
Products
  • Land utilization planning
  • Income property analysis
  • Asset valuation
  • Inheritance planning
  • Portfolio management

Asset Management Services

Overview
Supports maintenance of customer asset value through real estate asset operation management services.
Competitiveness
Gains trust through high-quality services
Customers
  • Corporations
  • High-net-worth individuals
  • Funds
  • Pension funds
Products
  • Asset operation management
  • Property maintenance
  • Report preparation
  • Tax consultation
  • Contract management

Housing Loan Services

Overview
Provides funding support services for home buyers.
Competitiveness
Customer-oriented thorough consultation system
Customers
  • Home buyers
  • Real estate agents
  • Financial institutions
Products
  • Loan arrangement
  • Financial planning consultation
  • Repayment simulation

Building Renovation Services

Overview
Renovation construction services aimed at enhancing building value.
Competitiveness
Strong partnerships with local contractors
Customers
  • Condominium owners
  • Rental management companies
  • Real estate investors
Products
  • Interior refurbishment
  • Exterior repairs
  • Equipment updates
  • Energy-saving renovations

Real Estate Sales and Purchase Brokerage

Overview
Supports customers' real estate transactions through sales and purchase brokerage.
Competitiveness
Regional network and extensive track record
Customers
  • Individual customers
  • Corporate customers
  • Investors
  • Other real estate firms
Products
  • Brokerage property introductions
  • Contract procedure agency
  • Market research
  • Price appraisal

Real Estate Legal Support

Overview
Specialized support services for real estate legal issues.
Competitiveness
Collaborative system with legal experts
Customers
  • Real estate owners
  • Construction companies
  • Financial institutions
Products
  • Contract document creation support
  • Legal compliance advice
  • Dispute resolution support

Real Estate Market Research Services

Overview
Provides market data useful for real estate development.
Competitiveness
High-precision information segmented by region
Customers
  • Local governments
  • Developers
  • Financial institutions
  • Investment funds
Products
  • Market trend analysis
  • Competitor property surveys
  • Development feasibility studies

Eco-Friendly Architecture Proposals

Overview
Proposes and supports environmentally considerate building planning.
Competitiveness
Practical proposals based on regional foundation
Customers
  • Building owners
  • Developers
  • Design offices
Products
  • Energy-saving design
  • Green building promotion
  • Environmental certification support

Real Estate Education and Training

Overview
Provides education support and training for the real estate industry.
Competitiveness
Practical content based on real-world experience
Customers
  • Employees
  • Related firms
  • Customer companies
Products
  • Training program provision
  • Legal and regulatory seminars
  • Latest trends workshops

Asset Utilization Consulting

Overview
Consulting services proposing effective asset utilization and revenue enhancement.
Competitiveness
Regional closeness and extensive track record
Customers
  • Landowners
  • Asset holders
  • Corporate customers
Products
  • Land utilization strategy
  • Effective real estate use
  • Asset restructuring

Competitive Advantage

Strengths

  • Regionally focused condominium planning expertise
  • Strength in mid-sized property development
  • Diverse rental management services
  • Stable financial base
  • Strong local relationship building
  • High brand recognition for condominiums
  • Broad sales channel network
  • Experienced management team
  • Prompt customer response
  • Stable sales structure
  • Strengthened legal compliance system
  • Business diversification through subsidiaries
  • Transparency as a listed company
  • Comprehensive after-sales service
  • Flexible response to regional needs

Competitive Advantages

  • Deep regional understanding centered on local Fukuoka operations
  • Specialized development strength in mid-sized condominiums over competitors
  • Revenue stabilization through diversified rental management services
  • Credibility and funding access as a listed company
  • Broad real estate-related businesses via subsidiary collaboration
  • High product planning reflecting local customer needs
  • Covers wide market with multiple strong brands
  • Enhanced reliability through strengthened compliance and governance
  • Funding support from good relations with local financial institutions
  • Improved customer satisfaction with comprehensive after-sales service
  • Superior management efficiency with high operating profit margin
  • Active customer outreach via regional events and exhibitions
  • Expands customer base with more flexible pricing than competitors
  • Achieves cost reductions by promoting IT for business efficiency
  • Gains social recognition through sustainable development initiatives

Threats

  • Risk of declining housing demand due to population decrease
  • Revenue instability from real estate market price fluctuations
  • Intensifying competition in local metro areas
  • Rising funding costs from monetary policy changes
  • Development restrictions from strengthened regulations
  • Asset value decline from natural disasters
  • Reputation risk from scandal recurrence
  • Rising construction material prices
  • Increasing vacancy risks in rental housing market
  • Shifts in urban housing demand from telework prevalence
  • Construction delays and sales stagnation from novel infectious diseases
  • Challenges in construction and management from labor shortages

Innovations

2023: Strengthening regionally focused condominium brands

Overview
Advancing development of new series tailored to Fukuoka metro needs.
Impact
Contributes to higher customer satisfaction and sales growth.

2022: Introduction of IT-based rental management efficiency system

Overview
Efficiency improvements from tenant recruitment to contract management for cost reductions.
Impact
Achieved management efficiency and faster customer response.

2021: Adoption of environmentally considerate condominium designs

Overview
Standardized designs incorporating energy savings and environmental considerations.
Impact
Succeeded in improving social evaluation and tenant attraction.

2020: Introduction of smart home equipment in new condominiums for sale

Overview
Developed products adopting the latest smart home technology.
Impact
Contributed to added value and differentiation of housing.

Sustainability

  • Promoting regional environmental conservation and town-building activities
  • Active use of recycled construction materials
  • Introduction of energy-saving performance-focused designs
  • Strengthening community contribution activities
  • Thorough compliance through strengthened internal controls
  • Formulation of long-term building maintenance programs
  • Visualization of CO2 emissions and reduction target setting
  • Regular employee environmental awareness training
  • Strengthened disaster prevention measures to reduce risks
  • Eco-events in collaboration with local communities