Fukuoka REIT Corporation

Fukuoka REIT Corporation

Last Update / Nov 13,2020

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  • HOME>Introduction>About FRC>Strengths of FRC

    Strengths of FRC

    The strengths of FRC primarily lie in the following five aspects.

    (1) A REIT specialized in an area having further growth potential

    FRC invests specifically in Fukuoka and Kyushu, which is an area having further growth potential.
    Fukuoka City is ranked first among Japanese cities designated by the government ordinance both in terms of the population growth rate and the ratio of the younger generation.
    Partly due to its proximity to Asia, the number of foreign tourists visiting the area is growing steadily.

    Fukuoka Draws Peaple from Inside and Outside Japan (Potential of Fukuoka and Kyushu)

    (2) Sponsorship structure mainly comprising local business leaders

    Fukuoka Realty Co., Ltd., the asset manager of FRC, is sponsored by powerful companies that lead the regional business world, centering on Fukuoka Jisho Co., Ltd., one of the largest developers in the Kyushu area.

    For details of the Sponsorship structure
    Sponsor Royal Holdings Kyushu Railway (JR Kyushu) Nishi-Nippon Railroad Kyudenko Kyushu Electric Power Fukuoka Jisho (Note 1) Saibu Gas Development Bank of Japan The Nishi-Nippon City Bank The Bank of Fukuoka (Note 1) Concluded an agreement concerning pipeline support with FRC Corporation and Fukuoka Realty Co., Ltd. *Click the corporate logos and you can visit the websites of respective companies.

    Fukuoka Jisho Co., Ltd., one of the largest developers in the Kyushu area and having abundant achievements, serves as the main sponsor

    Fukuoka Jisho, the main sponsor headquartered in Fukuoka City, is one of the largest developers in the Kyushu area. Demonstrating strengths in the development and operation of retail facilities, the company has developed and operated many such assets, including Canal City Hakata. It also has abundant achievements in developing office buildings including many class A office buildings in Fukuoka City. It is also engaged in creating cities and communities, and enjoys an established reputation for its abilities, particular to a locally company, with regard to information, leasing and property management.

    • Canal City Hakata Canal City Hakata
    • Park Place Oita Park Place Oita
    • konoha mall HASHIMOTO (Note 2) Konoha Mall Hashimoto

    (3) Payment of stable dividends continuing since listing

    FRC has continued to pay dividends at a high level based on stable cash flows.

    Dividend Trends(TO IR Info.)

    (4) A portfolio of blue-chip properties and high occupancy rate

    FRC owns blue-chip properties that represent the Fukuoka and Kyushu area, and keeps them operated at a high occupancy rate.
    Moreover, it works to diversify the types of its investment assets in order to mitigate the risks associated with the regional concentration.

    • Occupancy Rates of All Properties (Property Information)
    • Sales Data for Active Retail (Property Information)

    (5) Solid financial structure established

    FRC works to disperse the debt repayment dates and increase the average length of time until debt maturity. It has established good relationships with financial institutions including megabanks and regional banks in Kyushu, led by the three sponsor banks (The Bank of Fukuoka, The Nishi-Nippon City Bank and Development Bank of Japan).

    • Debt & Investement Corporation Bonds(Financial)
    • Rating(Financials)