Tokyo Tatemono Co., Ltd.
8804・Prime Market・Real Estate
Building Business
Core segment responsible for the development, leasing, and sale of office, commercial, and logistics facilities
| Period | Current | Previous | Change |
|---|---|---|---|
| Operating Revenue (External Customers) | ¥52,915 million (Q1 FY2026, ending March 2026) | ¥37,482 million (Q1 FY2025, ending March 2025) | ↑ |
| Operating Income | ¥10,831 million (Q1 FY2026, ending March 2026) | ¥9,403 million (Q1 FY2025, ending March 2025) | ↑ |
| Business Income | ¥10,895 million (Q1 FY2026, ending March 2026) | ¥9,508 million (Q1 FY2025, ending March 2025) | ↑ |
| Building Leasable Floor Area | 1,182,168㎡ (Q1 FY2026, ending March 2026) | 1,090,480㎡ (Q1 FY2025, ending March 2025) | ↑ |
| Real Estate Revenue | ¥20,405 million (Q1 FY2026, ending March 2026) | ¥5,878 million (Q1 FY2025, ending March 2025) | ↑ |
Business Details
Tokyo Tatemono's flagship segment, engaged in the development, sale, leasing, and management of office buildings, commercial facilities, logistics facilities, and other properties. It comprises three categories: Building Leasing & Facility Operations (leasable floor area of 1,182,168㎡), Real Estate Sales to Investors (Real Estate Revenue), and Management Contracting, etc. The segment develops a diverse range of asset types, from large-scale redevelopment projects in central Tokyo to the mid-size office series "T-PLUS," the logistics facility series "T-LOGI," and hotels, driving earnings for the group as a whole.
Recent Overview
Increased revenue and profit driven by a sharp rise in real estate revenue and steady building leasing performance
In Q1 FY2026 (ending March 2026), the segment achieved higher revenue and profit, primarily due to a substantial increase in real estate revenue to ¥20,405 million (up 247.1% year-on-year from ¥5,878 million in the same quarter of the prior year). Operating revenue reached ¥52,915 million (up 41.2% year-on-year), and operating income reached ¥10,831 million (up 15.2% year-on-year). Building Leasing & Facility Operations also performed steadily, supported by an expansion in leasable floor area (up 91,688㎡ year-on-year). While the consolidated group as a whole saw a substantial decline in profit due to lower condominium sales revenue in the Residential Business, the Building Business was the only segment to secure an increase in profit, underpinning the group's earnings.
Key Products
Growth Drivers
- Expansion of leasing revenue driven by the continuation of declining vacancy rates and rising rents in the central Tokyo office market
- Accumulation of stable stock-type revenue through expansion of leasable floor area (up 91,688㎡ year-on-year)
- High-value sales of investor-targeted properties amid robust real estate investment demand from domestic and overseas investors
- Expansion of development into diverse asset types, including the logistics facility series "T-LOGI" and the mid-size office series "T-PLUS"
- Steady progress of large-scale redevelopment projects such as "TOFROM YAESU," strengthening the future leasing revenue base
Risks
- Risk of delayed completion or cost overruns in large-scale redevelopment projects (construction costs continue to rise)
- Risk of a cooling real estate investment market and weakening demand for investor-targeted property sales due to rising interest rates
- Business results vary significantly by period since investor-targeted property sales depend on the timing of recognition
- Difficulty securing a development pipeline amid intensifying competition for land acquisition
- Risk of rising vacancy rates and falling rents due to deteriorating supply-demand balance (a phase of oversupply) in the central Tokyo office market
Last updated: March 23, 2026