Development

Against the backdrop of intensifying competition for attractive properties, the Development Division has been implementing various real estate development projects including offices, residentials, commercial facilities, senior housing/care and logistics facilities to acquire high-performance real estate. Our extended development operations cover a wide range of services from planning to leasing after construction to realize added-value of the properties.

Based on proven success and experience in asset management, our core competence, we develop product plans considering future operations of the asset from the time purchase of such asset is first considered so that the maximum potential of the asset is realized. In the process, from site acquisition to management and operation of the property, required specialists including acquisition managers, asset managers, leasing managers, engineering managers and others are brought together to reflect their know-how in the development and execution of the business plan and maximize earnings from the property.

Development operations can be classified roughly into two patterns. The first pattern is “self-development,” where the entire process of the development from site acquisition to planning and construction is done by Kenedix. The other pattern is “exit commitment” where we make a prior purchase commitment of a property upon completion of its development, which is to be conducted by a third party.

In “self-development,” we develop the property as an operating body and manage the entire development process from site acquisition to product planning, designing, construction, leasing and operation.
In “exit commitment”, we aim at delivering the full potential of existing properties. To this end, we start considering operation, leasing and marketing plans even before purchasing decisions are finalized. Once construction work has started, we monitor the progress of the work and make changes in the product plan where needed, whenever possible in cooperation with seller, designer, and contractor.

Operational flow