RISA Partners Announces ¥1.05 Billion Mezzanine Financing for Hazmat Warehouse Development in Kasama City, Ibaraki Prefecture

RISA Partners Co., Ltd. (hereinafter "RISA") announces the execution of ¥1.05 billion in mezzanine financing to Iwama Goudou LLC (a special purpose company established for Hazmat warehouse development) as development funding for a Hazmat (hazardous materials) warehouse project in Kasama City, Ibaraki Prefecture.

Background and Purpose of the Project

"Hazmat" refers to hazardous materials, and facilities designed to safely store and handle such materials are known as "Hazmat warehouses." In recent years, demand for hazardous materials storage facilities has been increasing, driven by the expansion of the e-commerce market, rising distribution of lithium-ion battery-related products, growing demand in semiconductor-related sectors, and increased handling of goods classified as hazardous materials, such as cosmetics, fragrances, and alcoholic beverages. Additionally, in the logistics industry, shippers are placing higher demands on regulatory compliance and safety management, increasing the importance of Hazmat warehouses equipped with proper facilities and management systems. On the other hand, due to the high level of expertise and regulatory requirements involved, the supply of hazardous materials warehouses remains limited, making this a growth area with strong future demand.

Recognizing this rising societal demand, RISA has decided to provide financial support to the emerging Hazmat warehouse market through this project.

This transaction involves providing mezzanine financing—positioned between senior loans and equity—to meet the funding needs of the Hazmat warehouse development project. By utilizing mezzanine financing, RISA aims to support smooth capital raising and improved capital efficiency for the developer, while contributing to the advancement of hazardous materials logistics infrastructure.

Future Outlook

To date, RISA has conducted investment and financing activities for domestic and international companies by leveraging its network of over 180 partner financial institutions across Japan—from Hokkaido to Okinawa—and its Southeast Asia network based on its local subsidiary in Singapore.

Going forward, RISA will continue to utilize its accumulated expertise in investment and financing to provide optimal financial solutions not only in traditional business sectors but also for forward-looking new business models.

Project Overview

Location

Kasama City, Ibaraki Prefecture

Scale

7 Hazmat warehouses, 2 general warehouses

Site Area

Approximately 22,000㎡

Total Floor Area

Approximately 9,700㎡

Completion Date

Scheduled within 2026

RISA Partners Co., Ltd.

Head Office: 19F, Shinagawa Intercity Tower C, 2-15-3 Konan, Minato-ku, Tokyo 108-6219

○Inquiries regarding this matter: Principal Investment & Financing Department, Tanino, Hayashi