JR East, Tokyu Fu HD / Business alliance for sustainable town development, business revenue of 100 billion yen in 5 years
Image of the Funabashi Market Town Project (from press release materials)
On the 14th, JR East and Tokyu Fudosan Holdings (HD) signed a business alliance agreement to promote sustainable urban development centered on housing and renewable energy. Utilizing the management resources owned by both companies, we will promote mixed-use development and installation of solar power generation.
The first project is planned to develop a former company housing site (approximately 4.5 hectares) owned by JR East in Funabashi City, Chiba Prefecture. The two companies have set business revenues of approximately 100 billion yen in five years. Renewable energy facilities will be installed in about five locations.
The period of the business alliance is expected to be 10 years from February to February 2033. The land assets and human resources owned by JR East will be integrated with the development know-how cultivated by Tokyu Fu HD. We will develop housing and renewable energy fields, as well as public transport-oriented development (TOD) centered on the Association of Southeast Asian Nations (ASEAN).
Among them, in the residential sector, we will promote mixed-use development targeting the area in front of the station. The first project, the Funabashi Market Town Project (provisional name), utilizes the former company housing site of JR East (Market 1-6, etc.) to develop housing, commercial facilities, and renewable energy power generation facilities. Aiming for completion after 2026.
In the renewable energy field, we will develop solar power generation facilities by utilizing the operational know-how of Tokyu HD, which has its own power generation facilities with a total rated capacity of about 1,400 MW, and the land and buildings of JR East. In order to put the business on track, a fund using renewable energy facilities in Miyagi Prefecture operated by Tokyu Fu HD will be launched during FY2012. The size of the fund is expected to be approximately 10 billion yen.
At a press conference in Tokyo on the same day, JR East's president Yuji Fukasawa said, "Our goal is to generate half and half profits from the conventional mobility business and the life service business. Housing and real estate development account for the weight of the large life service business. ' commented. Hironori Nishikawa, president of Tokyu Fu HD, who was also present at the meeting, said, "The reason we formed a business alliance was that we both agreed on the direction we should be aiming for, as solutions to social issues are increasingly required."
