Strategy by Segment

• Strategy of Leasing Business
• Strategy of Development Business
• Strategy of Elderly Care Business

Strategy of Leasing Business

• ※ The development business was integrated into the leasing segment from the year ending March 2021.

Further strengthen corporate sales

Companies increase hiring due to an improvement in corporate earnings and a labor shortage.
We further strengthen our corporate sales activities through detailed marketing activities tailored to each industry. In addition, with Leo-sign, a digitization of the contracts for corporate clients, we will respond to the growing demand for online operations and paperless work in the age of after coronavirus .

Tenants by group

We have a business history with about 80% of all listed companies in Japan, and more than half of the tenants are corporate users.

Strengthen our efforts to attract more foreign national customers

The Revised Immigration Control and Refugee Recognition Act came into force in April 2019, and approximately 345,000 foreign national workers are planned to join the Japan's labor market over five years.
Going forward, we will introduce products and ways of doing things which appeal to foreign national customers to acquire them as a clientele.

Global Support Centers

We operate the Global Support Centers as a dedicated leasing sales office for foreign national customers.
Our foreign national staff provide general living support, including explanations in the customer's native language when moving in and hold various consultations during tenancy, to provide a secure and comfortable living environment.

Promote the improvement of sales efficiency using IT

We have introduced advanced IT enabled services such as AI-assisted property search, web-based rental agreements, and Leo-sign, electronic contracts for corporate clients, to improve the operational efficiency of each process, as well as building new value by improving convenience and serviceability.

Web-based rental agreement system

You can fill in a tenant application form and submit identification documents on the website. You do not need to visit a leasing sales office to complete the contract procedures because we can provide explanation of important contractual items via video call.
In addition to enhancing user convenience, we can increase the number of agreements even by closing our direct sales offices, in other words, reducing fixed costs.

Leo-sign, digitized contract system

For the corporate lease contracts, we have introduced Leo-sign, an electronic contract system, which allows non-face-to-face contract conclusion.*
The online delivery of contract documents greatly reduces the workload for both employees and corporate customers, and matches the growing demand for paperless work.

• * Monthly rental contract is not concluded by Leo-sign because it does not meet legal requirements.

Leo Lock

Rooms in the properties with Leo Lock can be locked or confirmed for locked-state by smartphones, and you do not have to come to a leasing office to get the key.
If you use a web-based rental agreement for a room with a Leo Lock facility, you can complete all the process of rental contract conclusion from start to finish without any face-to-face contact.

Differentiation strategy through the provision of added value - a solution to secure a stable occupancy rate

Although the number of vacant houses in rental housing continues to increase, the total number of households in Japan is expected to decline. Single-person households in our target cohort of ages 15 - 64, the productive-age population, will remain unchanged for nearly the next 20 years. In addition, net population inflow continues in the three major metropolitan areas.
In our leasing business, in order to secure a stable occupancy rate, a differentiation strategy through the provision of value-added services is required.

Measures to increase the value of existing properties

We provide a wide range of value-added services, including "my DIY," which enables tenants to arrange their rooms according to their preferences, "LEONET," an internet service that provide greatly expansive functions, IoT-enabled home electronics operation, and security services in partnership with major security companies.

Tenant service

We offer "&Leo," a resident-only service.
You can check contract info and use LEONET services, tenant privileges, etc. from the website and smartphone app. We provide a wide range of exclusive services to increase tenant satisfaction and differentiate ourselves from the competitors.
The old tenant website "MY PAGE" was closed and integrated into the new "&Leo".

Quantitative targets

• ※ The numbers for FY19/3, FY20/3 Q1, and FY20/3 represent the result of change in segmentation retrospectively in line with the drastic business strategies reconstruction.

Strategy of Development Business

The development business was integrated into the leasing segment from FY21/3, and will focus on servicing owners and dealing with construction defects.
In the medium-to long-term, we will respond to reconstruction demand from existing owners, particularly in the three major metropolitan areas.

Quantitative targets

• ※ Net sales are non-consolidated figures.

Strategy of Elderly Care Business

We will achieve profitability by increasing profits through continuous operational improvements. We will also develop rental housing services that meet the needs of senior citizens. To this end, the Company will develop and expand life consultation and living support services, e.g., food distribution, cleaning, confirm the safety, watching over, etc.

Quantitative targets

• ※ The numbers for FY19/3, FY20/3 Q1, and FY20/3 represent the result of change in segmentation retrospectively in line with the drastic business strategies reconstruction.