Koryojyuhan Co., Ltd. (3495) Stock Price

Kōryō Juhanは茨城県、千葉県、東京都を中心に不動産の売買・賃貸・仲介・管理を展開している会社です。同社は仲介と販売を主軸とする「不動産流通事業」と、賃貸物件の管理や自社での賃貸運営を行う「不動産管理事業」の二本柱で事業を進めています。

Kōryō Juhan is a real estate company operating in Ibaraki, Chiba, and Tokyo prefectures, offering sales, rentals, brokerage, and property management services. The company operates on two main pillars: a "real estate distribution business" focused on brokerage and sales, and a "real estate management business" that handles rental property management and operates rental properties.

The company's primary customers are individuals seeking residential properties, investors purchasing investment real estate, rental tenants, and property owners. Revenue is primarily generated from brokerage commissions and real estate sales, while stable income sources also include management fees, rental income, parking lot operations, and electricity sales from solar power equipment.

In the distribution business, the company acquires land, used homes, and investment rental properties, then develops and renovates them for sale. It also develops proprietary investment properties (such as the "Rega Bene" series) for sale to investors. In the management business, the company provides property management services including rent collection, contract renewals, maintenance, and tenant relations. A group subsidiary handles certain maintenance work, while the company also operates lease-back arrangements and coin parking facilities.

The company positions steady sales expansion and continuous profit margin improvement through accumulated earnings as the core of its growth strategy, rather than relying excessively on real estate sales. Specifically, it maintains an equity ratio of 30% or higher with an ultimate target of 40%, sustains a return on equity (ROE) of 10% or above, sets a dividend payout ratio of 2.8% or higher in the near term with a progressive dividend policy, and works to ensure stable shareholder returns and financial soundness. Growth investments and M&A are pursued strategically to strengthen future revenue foundations, with emphasis on expanding recurring business to secure stable earnings.

Priority investment areas include continuous product development and land acquisition for the company's proprietary investment real estate series "Rega Bene." The company actively purchases and resells land, investment properties, single-family homes, and condominiums, differentiating through products leveraging its planning capabilities, while strengthening brokerage centered on physical stores to increase customer touchpoints and improve profitability. In property management, the company aims to increase managed units and occupancy rates through in-house properties and renovation projects, while expanding stable income sources beyond rental fees through coin parking and rooftop solar installations. Regarding mega-solar projects, the company will verify holding risks and consider sales when necessary.

For new market development and business expansion, the company targets increased area market share through dominant store openings. Currently operating 20 stores—18 in Ibaraki Prefecture and one each in Kashiwa-Chiba and Taito-Tokyo—the company will expand coverage in undeveloped areas through information gathering on potential locations and regional store operations, increasing management units by enhancing proposal capabilities to local owners. In real estate fund operations, the company will pursue development-type funds following current projects, expanding its business scope by meeting diverse investor needs. Strategic M&A will be conducted as needed to accelerate growth.

Regarding technological innovation, the company positions business digitalization (DX) as a key policy, continuously introducing and reviewing user-friendly technologies rather than settling for existing systems to enhance customer satisfaction and employee operational efficiency. The company will advance business standardization and internal and external training to promote talent development and work style reform, aiming to provide high-quality services alongside strengthened internal controls and risk management. On sustainability, the company will execute concrete measures to reduce environmental impact, including expanding solar installations on "Rega Bene" rooftops and transitioning company vehicles to hybrid and electric models by September 2027.