APAMAN and SYLA Partner! Tackling the Severe Rental Shortage in the Tokyo Metropolitan Area

SYLA Holdings Co., Ltd. (Headquarters: Shibuya-ku, Tokyo, Representative Director and Group Executive Officer CEO: Hiroyuki Sugimoto, Securities Code: 8887, hereinafter "SYLA HD"), through its consolidated subsidiary SYLA Co., Ltd. (Headquarters: Shibuya-ku, Tokyo, Representative Director: Yoshiyuki Yuto, hereinafter "SYLA"), has formed a business alliance with APAMAN Co., Ltd. (Headquarters: Chuo-ku, Tokyo, Representative Director and President: Kai Yamazaki, hereinafter "APAMANSHOP"), which boasts the No. 1 market share in stores and contracts in the rental housing brokerage industry *1, *2. This alliance aims to solve the social issue of rental housing supply shortages in the Tokyo metropolitan area.

Through this partnership, information on newly built rental condominiums in urban areas, developed and managed by SYLA, will be exclusively pre-listed (partially) through APAMANSHOP's nationwide network. Amidst record-low new construction supply due to soaring construction costs and labor shortages, the two companies will combine their strengths to quickly provide information to customers and realize a stable living environment.

Background of the Partnership: The Deepening "Housing Difficulty" in the Tokyo Metropolitan Area

Currently, the real estate market in the Tokyo metropolitan area is facing a triple hardship: "stagnation of new construction supply," "soaring property prices (turning into 'oku-mansions' - properties costing hundreds of millions of yen)," and "acceleration of return to urban centers." Especially with the shift in demand from "buying to renting," the supply and demand for prime properties, mainly in the 23 wards, are extremely tight.

In response to such social anxieties as "rising rents" and "property shortages," SYLA, with its high development capabilities, and APAMANSHOP, with its overwhelming brokerage capabilities, have teamed up to build a system for direct and speedy delivery of excellent new properties to the market.

Key Initiatives through this Partnership

▼ Exclusive Pre-leasing of New Properties (Partial)

High-quality new condominiums handled by SYLA will be listed through APAMANSHOP prior to general public release.

▼ One-Stop Information Provision System

Utilizing online customer service and DX tools, we will provide stress-free room hunting in urban areas where supply and demand are tightening.

▼ Optimization of Market Needs

Feedback from on-site customer needs will be incorporated into development plans to promote the supply of truly demanded housing.

Comment from Hiroyuki Sugimoto, Representative Director and Chairman CEO of SYLA HD

This partnership is an initiative to deliver high-quality properties to the market more quickly by combining our development capabilities with APAMANSHOP's leasing capabilities in the Tokyo metropolitan area rental market, where supply and demand remain tight.

Currently, the inflow of population into urban areas continues, and residential needs are steadily expanding. However, new supply is constrained by factors such as rising construction costs, leading to continued tight supply and demand.

By preferentially introducing our urban new condominiums, especially high-quality properties including the "SYFORME" series, to the market through a nationwide brokerage network, we aim to maximize occupancy rates and shorten leasing periods, directly leading to improved asset profitability.

Furthermore, the real-time customer needs obtained through this partnership will be fed back into future development planning, leading to further evolution of our brands such as "SYFORME," and contributing to the optimization of supply and strengthening of competitive advantage.

Our strength lies in an end-to-end business model that optimizes everything from procurement to planning, development, sales, and management, and through this partnership with external partners...