Cosmos Initia's Renovation Condo Business Achieves 37% ZEH/Energy-Efficiency Standard Certification, Exceeding 30% Target

Cosmos Initia Co., Ltd. (Headquarters: Minato-ku, Tokyo; President: Ryotaro Takachi), a Daiwa House Group company, is pleased to announce that its renovation condo business, "INITIA & Renovation," has achieved a 37% acquisition rate for the "Housing Energy Efficiency Performance Certificate (ZEH level (*1) / Energy Conservation Standard (*2))" for existing condo projects that commenced construction in fiscal year 2025. This exceeds the company's target of 30%. Furthermore, for units previously sold by the company, the acquisition rate reached 50%.

■ 37% Acquisition Rate for ZEH/Energy-Efficiency Standards in FY2025 Renovation Projects
　Achieved 50% for Units Previously Sold by the Company.

Through condo renovations, our company aims to address issues such as vacant and aging housing by revitalizing and effectively utilizing existing residential stock, while also promoting energy efficiency as a measure against environmental challenges. In our "INITIA & Renovation" business, we set a target of 30% for the acquisition of the "Housing Energy Efficiency Performance Certificate" for existing condos starting construction in FY2025. We have now reached 37%, successfully meeting our goal. For units previously sold by our company, the acquisition rate reached 50%.

*1. ZEH Level: Housing that meets standards for thermal insulation and equipment, with a thermal insulation performance grade of 5 or higher and a primary energy consumption grade of 6 or higher.

*2. Energy Conservation Standard: Housing that meets standards for thermal insulation and equipment, with a thermal insulation performance grade of 4 or higher and a primary energy consumption grade of 4 or higher.

■ Specific Initiatives for Acquiring "ZEH Level/Energy Conservation Standard" Certification

To help customers easily choose energy-efficient homes, we obtain evaluations and displays via "BELS" (Building-Housing Energy-efficiency Labeling System), a third-party certification, for renovation condos that meet these standards. In FY2025, we successfully achieved energy-efficiency standards for condos built in the 1990s and ZEH-level standards for condos approximately 20 years old.

●Example of Energy Conservation Standard Acquisition: Kita-Senju Flats (Completed 1995, Renovated 2025)
To enhance thermal insulation, inner windows were installed in the living/dining area and adjacent rooms. High-efficiency equipment was adopted to meet energy conservation standards.

●Example of ZEH Level Acquisition: Shibaura Island Grove Tower (Completed 2006, Renovated 2025)
The property originally had high thermal insulation, and the adoption of high-efficiency equipment allowed it to reach ZEH-level standards.

■ Features of INITIA & Renovation

●Leveraging Know-how as a Condo Developer to Actively Renovate 1990s Properties
Generally, ZEH/Energy-Efficiency certifications are centered on condos built after 2000, and it is often considered difficult to obtain these for 1990s properties. By leveraging our expertise as a developer, we have successfully applied equipment used in new condos to these older properties, promoting the revitalization of existing stock.

●Four-Company Collaborative Framework
We have established a collaborative system with YKK AP Inc., u.company Inc., and NCN Co., Ltd. to promote energy efficiency in housing. Each company contributes its expertise in consulting, energy-efficient design, and information gathering on tax incentives and subsidies to create a mechanism for realizing energy-efficient products.

■ FY2026 Target for ZEH/Energy-Efficiency Certification Set at 60%

Given the urgent need for energy efficiency in the housing sector and the government's goal to ensure average ZEH/ZEB-level performance for housing stock by 2050, we have set a target of 60% for the acquisition of these certifications in FY2026. We will continue to contribute to a sustainable society by promoting energy efficiency in renovation condos.