Annual Report 2020
Fiscal year ended March 31, 2020

Innovation for a New Lifestyle.

Profile
Since the foundation of the Takara Leben Group in 1972, our objective has always been to offer homes tocustomers under the principle of providing ideal, affordable housing that anyone can buy with confidence
and peace of mind. We began with the detached house business, transitioned to our core new built-for-salecondominium business to meet the needs of the age, and then, in 2001, became a listed company. We haveachieved continuous growth as a general real estate business developer by bringing to reality our corporate
vision: “THINK HAPPINESS AND MAKE THE HAPPINESS.” Now, as we approach the 50th anniversary of theGroup’s founding in 2022, our new Group slogan is “Innovation for a New Lifestyle.” This means proposing
homes and services suited to the lifestyles of customers, despite what had until now been the existing norm,
raising corporate value and responding to the expectations of all of our stakeholders.

CONTENTSVISIONTHINK HAPPINESS AND
MAKE THE HAPPINESSMISSION
Creating
Together

Origin of the Company Name

Profile1

The “Takara” that we have used in our company name since the days of “Takara
Komuten” refers to “treasure,” as in a home is the treasure of a lifetime. The word“leben” added following the change in our company name is German for “life,
lifestyle and living,” which are keywords essential when discussing a home. This
represents the concept of hoping to offer homes that are the treasure of alifetime to as many people as possible.

History of the Takara Leben Group

2

Value Creation Process at the
Takara Leben Group

4

Interview with the CEO

6

Main Businesses

Company Profile
Company name: Takara Leben Co., Ltd.

Stock and Fee-Based Businesses

Flow Businesses

In the stock business, the Takara Leben Group is building stable revenue from rent, and revenue generated fromover 50,000 properties managed on consignment. In addition, in the fee-based business we listed two investment corporations expanding into areas such as investment management fees and thereby established a systemthat does not rely on flow businesses.

The core of flow businesses is the new built-forsale condominium business, and targets
families, dual-income and single-personhouseholds in metropolitan areas such as theReal Estate Rental Business 3.5 %In this business segment, the Group manages and operates properties. In addition to
managing our own properties through our unique and detailed services, the Group also
manages properties handled by other companies on a contract basis and is steadily
growing the number of properties it manages.

Electric Power Generation Business 12.5 %The Takara Leben Group generates a stable flow of earnings by selling electricity to electric
power companies. The Group also works diligently to contribute to society by producing
renewable energy. In addition to revenue gained from the sale of electric power, we are also
conducting sales of power generation facilities to Takara Leben Infrastructure Fund.

Other Businesses 4.1%
The Takara Leben Group receives commissions derived from other segments, and is active acrossa wide range of fields, including construction contracting. Management fees have expanded
along with the increase in assets such as infrastructure funds and REITs, and future large-scale
repair work projects are growing due to the increase in the number of managed units.

Tokyo metropolitan area, and active seniors inregional city centers. In addition, the Takara Leben
Group is engaged in renovating and redeveloping
buildings in partnership with government.

Real Estate
Sales Business 76.9 %In this business segment, the Group leases the condominiums, office buildings,
hotels and other properties it holds. Leveraging the Group’s real estate information
network to the maximum extent, we have been actively acquiring rental properties
throughout Japan.

Real Estate Management Business 3.0 %Representative: Kazuichi Shimada,
Representative Director

Consolidated
Net Sales¥168.4billion(FY2019)

The real estate sales business accounts fornearly 80% of the Takara Leben Group’s total
net sales. The core of this business segment is
new built-for-sale condominiums that
represent roughly half of all sales. In aseamless system from the purchase of land for
condominiums to planning, development andsale, the Takara Leben Group addresses thechanging needs of customers and makes
proposals suited to customer lifestyles.
Among a host of other endeavors, the Groupis engaged in the sale of detached houses
which has firmly established needs, as well as
the renovation and resale of condominiums
where the market has been expanding in scale
over recent years, and liquidation business of
profit-generating real estate for bothresidences and offices.

Established: September 1972
Capital stock: 4,819 million yen(As of March 31, 2020)
Net sales: 168,493 million yen(Fiscal year ended March 31, 2020)
No. of employees: 334
(Male, 261; Female, 73)(As of March 31, 2020)
Head office: TEKKO BUILDING 16F,
1-8–2 Marunouchi, Chiyoda-ku,
Tokyo, Japan 100-0005
TEL.: +81-3-6551-2100

Related Companies
Leben Community Co., Ltd.



Takara Leben Tohoku Co., Ltd.



Takara Leben West Japan Co., Ltd.



Nikko Takara Corporation Co., Ltd.



Takara Leben Realnet Co., Ltd.



Leben Zestock Co., Ltd.



Leben Trust Co., Ltd.



Takara Asset Management Co., Ltd.



Takara PAG Real Estate Advisory Ltd.



Sunwood Corporation

Interview with the CFO

8GrowthStrategyPrevious Medium-Term Management
Plan Review

10

Overview of Medium-Term Management
Plan (Fiscal Year Ended March 2019 to
Fiscal Year Ending March 2021)

12

Measures Real Estate Sales Business
Adopted in Real Estate Rental Business/
Each
Real Estate Management BusinessBusiness

Electric Power Generation Business/
Other Businesses

14
16
17

ESG Management

18

Environment

20

Social21

Corporate Governance

22

Introduction of Directors

27Interview with an Outside Director

28

Financial Section/Corporate Data
Financial Review

30

Six-Year Financial Summary

32

Non-Financial Data/Stock Information

33

Other Disclosure Information
https://www.leben.co.jp/en/ Materials related to the Company’s Settlement of Accounts
 Quarterly Financial Results Reports
 Business Report Ordinary General Meeting of Shareholders Information
 Other
Editorial Policy and Cautionary Statements Regarding
Forward-Looking Statements
This report, which for the most part provides details of the Takara Leben Group’s
operations in fiscal 2019, the fiscal year ended March 31, 2020, has been
designed to provide stakeholders with a deeper understanding of our businessactivities, management strategies, performance, and other non-financial
information, including interaction with society and the environment.
This document was prepared to provide information regarding the Company’s
consolidated results in fiscal 2019 and should not be construed as a solicitation
for investment in securities issued by Takara Leben Co., Ltd. The information
provided in this report is fundamentally based on data available as of March 31,
2020. Any forward-looking statements including opinions and forecasts are basedon the best judgments of management as of the time this report was prepared.
Accordingly, Takara Leben does not guarantee or promise that any forward-looking
statements will be realized or achieved or provide any assurance as to theaccuracy or integrity of information. Moreover, the content of this report issubject to change without prior notice.

Takara Leben Annual Report 2020

1

Net Sales

History of the Takara Leben Group¥168.4Harmonic Circle

billionThe Takara Leben Group’s symbol is the Harmonic Circle, which iscomprised of three rings, representing customers, partners, andemployees and expressing how they are linked to one another andexpanding organically to create harmony while supporting each other.
The three rings convey our hope of carrying out our corporate vision to“THINK HAPPINESS AND MAKE THE HAPPINESS” while resonatingwith one another. The gradation of striking blue to deep navy expresses
the intelligence and sincerity pursued by everyone in the Group.

Established as Takara Komuten Co., Ltd. in Itabashi-ku, Tokyo in 1972, Takara Leben began the sale ofproprietarily branded condominiums in the 1990s, which subsequently led to growth in the number of units
supplied as well as net sales. We are a general real estate business developer that comprises 11 Groupsubsidiaries, and our business area now extends broadly throughout Japan.

No.

8*S tudy by Real Estate Economic
Institute Co., Ltd.

Cumulative number of newbuilt-for-sale condominium
units supplied

32,743Surpassed¥100 billion(Billions of yen)

2019 number of supplied
condominium units
nationwide rankingunits(As of March 31, 2020)

mark(10,000 units)

100

−4

Net sales and cumulative number of new built-for-salecondominium units supplied−3

Surpassed¥50 billion

Over

mark

30,000 units

50

−2
Over

Surpassed

10

year
anniversary¥10 billion
mark

20

30

year
anniversary

year
anniversary

0

20,000 units

40

50

year
anniversary

10,000 units

Over

−1

year
anniversary

0

1982

1972

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021 2022 (For the period

ended March 31)

History
1972 Established as Takara Komuten Co.,
Ltd. in Yamato-cho, Itabashi-ku

1994 Commenced sales of the “Leben Heim”
series of condominiums

2000 Changed the name of Takara
Komuten Co., Ltd. to Takara
Leben Co., Ltd.

2003 Listed on the Second Sectionof the Tokyo Stock Exchange

2008 Launched the new Takara
Leben brand2013 Entered the electric power2015 Made Live Net Home Co., Ltd. (current 2018 Changed the name of TAFUKO
Takara Leben Tohoku Co., Ltd.) into a
subsidiary company; relocated to
Sendai City, Miyagi Prefecture

generation business2004 Listed on the First Sectionof the Tokyo Stock
Exchange	Made Jyutakujyouhoukan Co., Ltd.
into a subsidiary company

2010 Launched the detached1975 Purchased the Company’s head office to
the Nakaitabashi Head Office Buildings(Dai-ichi Takara Building)1996 Changed the name of Takara Management
Co., Ltd. to Leben Community Co., Ltd.

1999 Undertook the absorption-type merger of1982 Launched the real estate rental

Takara Jyuhan Co., Ltd.

house business withdetached house built by theCompany in its own right2001 Relocated the Company’s head

office to Ikebukuro following
completion of the Takara Leben
Head Office Building

2011 Commenced sales of custom-built

Listed on the JASDAQ market

business

2006 Relocated the Company’shead office to the ShinjukuSumitomo Building

1986 Established Takara Jyuhan Co., Ltd. in aneffort to expand sales and intermediary
operations

1988 Established Takara

	
Established TAFUKO Co., Ltd. as aManagement Co., Ltd. as a realestate management company

houses; exhibited products at theTachikawa Housing Exhibition Center2012 Launched the new LEBEN
condominium brandMade the real estate rental
and management businessTakara Housing Co., Ltd.
(current Leben Trust Co., Ltd.)
into a subsidiary company

financial brokering business2016 Made Nikko Property Co., Ltd. into a
Established Takara AssetManagement Co., Ltd. as aninvestment managementbusinesssubsidiary company

2014 Set up the Hokuriku Office2017 Set up the Osaka Branch	Made Oasis Co., Ltd. (current
Takara Leben Realnet Co., Ltd.)
into a subsidiary company

	Set up the Sapporo Office	Changed the name of Jyutakujyouhoukan Co., Ltd. to Takara
Leben West Japan Co., Ltd.

Property Co., Ltd. to Leben
Trust Co., Ltd.

	Leben Trust Co., Ltd.
merged (absorption-type)with Takara Property Co.,Ltd.

	
L aunched the new NEBEL	Leben Community Co.,
Ltd. established Leben
Community Vietnam Co.,
Ltd. as a local subsidiaryin the Socialist Republic ofVietnamcondominium brandC ompleted steps for Takara Leben
Infrastructure Fund to be the first to
list on the Tokyo Stock Exchange
Infrastructure Fund Market

2019 Changed the name of Nikko

	Made PAG Investment
Management Ltd. (current
Takara PAG Real Estate AdvisoryLtd.) into a subsidiary company

	
Changed the name of Nikko Kensetsu Co.,
Ltd. to Nikko Takara Corporation Co., Ltd.

Made Sunwood Corporation into
an affiliate accounted for by theequity method

	Made Nikko Kensetsu Co., Ltd.
into a subsidiary company

Co., Ltd. to Leben Zestock
Co.,Ltd.

	Established representative officeof TAKARA LEBEN CO., LTD. in
Hanoi CityT akara Leben Real Estate
Investment Corporation was
listed on the Tokyo Stock
Exchange Real Estate
Investment Trust Securities
Market	Relocated the Company’s head
office to the TEKKO BUILDING in
Marunouchi, Chiyoda-ku

Real Estate-Related Milestones
1970s

1980s

1990s

2001

2006

2008

2011

2016

New availability of home loans

Land prices soar in the
bubble economy

After the bubble bursts, corporate
factories and housing are sold off andthe development of condominium
buildings on vacant land moves forward

The J-REIT market is establishedenabling real estate investment
trusts to list on the Tokyo Stock
Exchange for the first time.

With formulation and enactment of the
Basic Act for Housing, Japan’s policy shifts
to encourage use of existing housing stockwith refurbishment and renovation

The financial crisis sparked by the
Lehman Shock leads to ongoing
consolidation among real estatecompanies

The Great East Japan Earthquake and other disasters
spur strengthened efforts to adopt seismic isolation andvibration control structures for condominiums, as well as
securing emergency sources of power and other features

Compliance with energy conservation standards
becomes mandatory, in line with the enactment of the
Building Energy Conservation Act, a law concerned withbuilding energy consumption performance Intensifying condominium
product planning competition “ Expensive, Far, Small” during
the bubble economy

Housing Trends W ide-spread availability of
combined living room, dining room,
kitchen type urban condominiums

2

Takara Leben Annual Report 2020

 D esire for detached houses
with gardens M ass supply oriented towards “Inexpensive,
Near, Large”

 R ising popularity of energy-saving, Good
Design, and other added-value properties G rowing number of rental properties
allowing for DIY, pets, and greater
lifestyle freedom S hift from assumption of relocation to apreference to permanent residency F ocus on community formation W ide-spread availability ofenvironmentally responsible
housing G rowth of dual-residence lifestyles(lifestyles based in two locations)and IoT housing W ide-spread use of teleworkand home office demand

Takara Leben Annual Report 20203

Value Creation Process at the Takara Leben Group
Takara Leben has positioned as its starting point the desire to offer homes to customers under the principle of providing
ideal, affordable housing that anyone can buy with confidence and peace of mind. Moreover, it has responded to diversifying housing needs and achieved sustained growth as a general real estate business developer. We will continue toprovide new value to society through the creation of concepts that go beyond traditional norms.

Input

Strengths

Value Chain

OutputFacilities
management

Businesses derived from condominiums
equipped with solar power systems

Financial CapitalN umber of units soldNew built-for-salecondominiums

1,955 units

Ability to generate
stable cash flow

Development
Capabilities(FY2019)

Real Estate-Related
Businesses

Rebuilding andredevelopment

Mega-solar

Infrastructure funds
management

154 units(FY2019)

C umulative number of

Buildings, equipment,social infrastructure

units supplied

Development

Real estate
management

Sales

Financial Capital
A sound financial foundationthat enables further
investments for growth

New built-for-saledetached houses

Manufacturing Capital

Housing lots
purchasing

OutcomeRepair32,743 units

Brokerage

We contribute to improving therichness of people’s lifestyles bycreating new value.

Manufacturing Capital
Providing high-quality
buildings*N ew built-for-sale condominiums(As of March 31, 2020)

N umber of managed

Intellectual Capital
Technologies andexpertise that respondto customer requests

Planning
Capabilities

Human Capital
Diverse humanresources thatpossess expertise■ Real Estate Sales
Business

P.14■ Real Estate Rental
Business

P.16■ Real Estate Management
Business

P.16■ Electric Power
Generation Business

P.17■ Other Businesses

P.17

Real
estate rental

Rentalmanagement

RepairP ower generation(current)
About

125 MW

Human Capital
Encouraging the strong rolesof diverse employees*Including wholesale portion(As of March 31, 2020)

P ower-generation

facilities nationwide48*Calculated based on the number oflicenses including wholesale portion(As of March 31, 2020)

ESG Management

P.18▪ Support for diversifying lifestyles andglobalization▪ Responses to changes to business models brought

by an ageing society and depopulation▪ Urban development and creating towns

governance system▪ Promoting compliance▪ Employee health management▪ Encouraging employment of diverse human resources▪ Providing safe, secure products and services▪ Improving customer satisfaction▪ Improving value of buildings

P ercentage of womenin management

Social and
Relationship Capital*S cope of calculation: Takara Leben(As of March 31, 2020)▪ Providing buildings and spaces that consider

the environment and culture▪ Responses to global warming▪ Initiatives for renewable energy▪ Effective use of resources▪ Responses to disastersP ercentage of persons

with disabilities
employed

2.06 %

Providing Comfortable
Spaces of High Quality
We support the comfortable andsafe living of our customers byproviding products bringing greatsatisfaction to our customers.

Building regional vitality andrelationships of trust for thelong term with all
stakeholders

8.33 %Key Issues for the Takara Leben Group▪ Construction and maintenance of a corporate

Takara Leben Annual Report 2020

Advanced technologies andservices that respond todiversifying lifestyles(FY2019)

Rentalmanagement

System to support value creation

4(As of March 31, 2020)

Forming Communities
We form communities withstakeholders—such as local
communities, trading partners,
and employees—and aim for
growth together.

¥5.9 billion

REIT andprivate fundmanagement

Trust and reliability,
brand strength anda collaborative
framework

Land, the global
environmentIntellectual CapitalR ental revenues

Social and
Relationship Capital

Natural Capital

housing units

59,747 units

Sales

Businesses derived from real estate
rental business

Sales
Capabilities

Managerial
Capabilities

Creating Lifestyles with
Value

Natural Capital
Effective use of resources
and initiatives for renewableenergy to reduce
environmental impact

Developing Environments
and Cultures
We contribute to a sustainable society
by actively working on environmental
issues, and at the same time, contributeto improving quality of life by providing
opportunities for mental activities suchas learning and practicing the arts.

*S cope of calculation: Takara Leben(As of March 31, 2020)

Takara Leben Annual Report 2020

5

ガバナンスInterview with the CEO

GovernanceAchieving Happiness through Real Estate
CSR
Environment

Management

GovernanceSocialIntermediary
RentalConstruction
Renovations

Sale

Power
Generation

Business Activities

Development
Redevelopment

Kazuichi Shimada
Representative Director,
CEO and President Executive Officer

Corporate Philosophy
THINK HAPPINESS AND MAKE THE HAPPINESSWith a determination that remains unwavering even in the face ofthe changing business environment, Takara Leben aims to further
evolve through the creation of a business cycle that best leverages
our strengths
Using the core new built-for-sale condominium business as a key pillar for growth, we will develop the Real Estaterelated businesses while contributing to local communities, actively advancing our ESG efforts, and continuallybolstering corporate value.

Q1
Please tell us about the recently completed
review of the second year of the MediumTerm Management Plan (FY2018-FY2020) andyour outlook for the real estate sector moving
forward.
In the new built-for-sale condominium business, ourcore business, net sales and the number of units sold
both reached record levels, with the gross profit margin
for the business remaining at 20%. On the other hand,operating income, ordinary income, and net income
attributable to owners of parent fell short of ourforecasts in the hotel business, largely on the booking of
impairment losses and valuation write-downs oninventory assets. Aside from this, earnings weregenerally in line with our expectations and the spread of
COVID-19 near the end of the fiscal year ended March
31, 2020 had no significant impact on performance forthe year. We are showing solid earnings in our corebusiness and think we need to correct the earnings
trajectory in the hotel business by accurately forecastingchanges in the operating environment and moving

6

Takara Leben Annual Report 2020

quickly to take the initiative.
We think there are some tough obstacles as we move
forward, including uncertainties contributing to buyer
restraint. However, the number of new built-for-salecondominiums supplied is declining in the Tokyo
metropolitan area, and the supply-demand balanceremains favorable. In regional cities, in a trend that takes
into consideration convenience, a move away fromdetached houses in the suburbs to condominiums in thecity centers is flourishing. This has ensured that demandfor condominiums remains high.

time of completion. A company that does not have its
own sales divisions is forced to outsource sales activities
to an external entity. In contrast, Takara Leben iscommitted to handling sales on its own and has acquiredin the process a wealth of knowledge in sales. In addition,
our sales division is involved throughout the constructionof the condominiums, from the planning stage to theactual handover, so that its members can offer proposals
specific to the needs of each customer. In recent years,
about 80%–90% of those we have concluded contracts
with decided to visit our model rooms after seeing themon the Internet. We think that being among the first in theindustry to fine tune our sales activities using the Internet,
offering more than a one-size-fits-all approach andmaking proposals in line with the customers’ needs, hasproduced clear results.
Lifestyles are changing as a result of COVID-19. As wemove forward, we will have to accurately predict otherchanges in the market and create homes that aresuitable for telecommuting and remote working. Takara
Leben will continue to work to understand the needs ofour customers and continuously enact reviews to ourpurchasing and product planning systems to meet theseneeds.

Q2
Please tell us about initiatives and results inareas in which the Company is focusing its
attention.
Strong condominium sales can be attributed not only topurchase of the land being in a prime location, but also to
the strength of our sales capabilities, which we have built
up through a long tradition of proprietarily branded sales,
as well as our commitment to delivering all units at theQ3
Please outline the Company’s long-term
vision and your efforts to achieve sustainablegrowth.
Our efforts in ESG reflect one of our long-term growthstrategies. We think that it is our responsibility andmission as a developer to not only sell homes, but also

to work continuously to promote revitalization and build
neighborhoods through close ties with the community.
We understand that regional revitalization in cooperation
with local governments and communities takes time andwill not lead to immediate profits. However, we aretaking a long-term approach in our efforts, which are
spearheaded by the specialized department weestablished within the Company in 2016.
Conducting our business with a focus on ESG,
including the enhancement of corporate governanceand working in regional areas, requires us to first be
profitable. With this in mind, we have expanded ouroperations into real estate related businesses such asreal estate management business and real estate rental
business, where synergies can be created with the core
new built-for-sale condominium business. Moving
forward, we intend to continue building on the strengthsof the new built-for-sale condominium business while atthe same time fostering growth in the related
businesses. Our goal is not to rest on our laurels, butrather to keep evolving through the continued
development of our unique condominium business.
Indeed, we look to create a company that is recognized
and appreciated as an independent general real estatebusiness developer and one that is sought out by its
customers.
We think sustainable growth at the Company requires
a business model that is not entirely dependent on the
new built-for-sale condominium business, which isconsidered a flow business. Rather, our strategy for
growth moving forward focuses on solidifying as a groupa business cycle tied to the stock and fee-based
businesses derived from that core business.

Takara Leben Annual Report 20207

Interview with the CFO
business was affected by fluctuation in the Kyoto hotel
market, which led us to book impairment losses andvaluation write-downs on hotel project inventories. Thisin turn led to a year-on-year decrease in net income
attributable to owners of parent.

building an environment in which our employees will
desire to work over the long term as a means of
reducing employee turnover. For example, we are
improving labor conditions through revisions to thepersonnel system and reducing overtime throughefficiency improvements.
* 2 As of May 25 , 2020

Q2

Masashi Yamamoto
Director, CFO andManaging Executive Officer

The company is charting greater earnings potential as a general real estatebusiness developer by building internally retained funds from cash flows and asound financial standing through our long-term financial strategies.
Q1
Please discuss the performance results andthe related factors during FY2019.
The consolidated financial results for the fiscal year
ended March 31, 2020, saw net sales increase 27.6%
year on year to 168,493 million yen, operating income
increase 18.5% year on year to 11,901 million yen, andordinary income increase 24.1% year on year to 11,201
million yen. Meanwhile, net income attributable toowners of parent declined 16.6% year on year to 5,361
million yen.
The real estate sales business experienced continued
favorability in the supply-demand balance with thenumber of new built-for-sale condominiums available in
the Tokyo Metropolitan Area decreasing 15.9% year on

year to 31,238 units. It allowed us to deliver 1,955 newbuilt-for-sale condominiums, the highest number in our
history. I am proud to say that at 20% gross profit
margin is high even for our industry. In terms ofliquidation business, we sold five properties worth
10,755 million yen to Takara Leben Real Estate
Investment Corporation, which when combined withother sales amounted to a total of 37,854 million yen.
In the electric power generation business, we soldpower generation facilities worth a total of 15,983 million
yen to Takara Leben Infrastructure Fund and otherpurchasers.
As a result, performance for the fiscal year ended
March 31, 2020, trended strongly and enabled net sales,
operating income, and ordinary income to achieve
double digit growth year on year. Meanwhile, the hotel

Management Index

In light of the performance during FY2019,
please discuss the measures for FY2020, as
the final year of the Medium-Term
Management Plan (FY2018-FY2020).

Please discuss the concept behind yourfinancial strategies.

We have yet to determine when we will forecast theresults for the upcoming period as the final year of theMedium-Term Management Plan because reasonably
estimating the impact that the spread of COVID-19 will
have on our business activities and operating results isdifficult.*2 As of March 31, 2020, however, the number of
new built-for-sale condominiums under contract thathave yet to be delivered stands at 1,062 units (792 units
during the last period).
The primary impact that the spread of COVID-19 will
potentially have on the Company in the future is theplacement of restrictions on sales activities using model
rooms in each area. The Company, however, supplies
condominiums for real market demand, not forinvestment purposes that are easily affected by changes
in economic trends and environment. Therefore, we
expect to see stable demand. Moreover, we are
expanding the supply area to cover the entire country inorder to distribute the risk of concentrating on specificareas. We are also actively pursuing new approaches toaddressing changes in the environment, including
developing and introducing non-face-to-face sales
methods using VR systems, which are likely to see
demand in the future.
In the liquidation business, we will focus on acquisitionand development while maintaining an awareness of theoverall portfolio balance in order to chart a path togreater stability.
As far as the internal organization goes, we are

In the real estate sales business, which accounts forapproximately 80% of the Group’s net sales, interestbearing debt tends to accumulate in step with businessexpansion because we borrow from financial institutions
when acquiring land and profit-generating real estate.
We are therefore continuing efforts to build internallyretained funds from cash flows and a sound financial
standing to also ensure stable financing.
The targets are 30% for the equity ratio, less than
60% for the loan to value ratio, less than three times forthe debt-to-equity ratio, and 15% for ROE. During the
fiscal year ended March 31, 2020, we achieved thetargets for the loan to value (LTV) and debt-to-equity
ratios, but at 25.9% we did not meet our target for theequity ratio. If we exclude the impact of the valuationand impairment losses I mentioned above, ROE stood at
17.2%, which does achieve the target value.
To support sustained growth profitably, we arepromoting management that has an awareness of thecost of capital. Although total shareholder returns (TSR)
fell below 100% due in part to a drop in the share price,
our target for the dividend payout ratio in the MediumTerm Management Plan as a part of our target forshareholder returns is 25-30%. We are also considering
raising this target once we have achieved our target
equity ratio. In line with business expansion, we areworking to increase net sales and operating income, andwill chart a path to greater earnings potential as a
general real estate business developer.

Total Shareholder Returns (TSR)
FY2018The Medium-Term Management Plan

FY2019（%）
150

Equity ratio

(%)

25.6

25.9

30% (Fiscal year ending March 2021)

LTV (Loan to value)

(%)

60.5

58.3

less than 60%(Every fiscal year ending March)(Times)2.3

2.2

less than 3 times(Every fiscal year ending March)

50

(%)

14.3

10.9*115% (Every fiscal year)

0

D/E ratio 
ROE

Q3

TOPIX: Share index (including dividends)of return on investment

100

Takara Leben TSR
2016.32017.32018.32019.32020.3*1 17.2% excluding special factors such as loss on valuation of inventories and impairment loss

8

Takara Leben Annual Report 2020

Takara Leben Annual Report 20209

Growth Strategy
This section reviews the previous two Medium-Term Management Plans and organize the basic
policies for the current Medium-Term Management Plan.

Previous Medium-Term Management Plan Review

Next Stage 2016
Theme

“For Solid Steps towards Regrowth” — As a Pioneer of Solar-Powered Condominiums —Plan Basics

Units sold:

Record annual sales of 2,000 new built-for-salecondominium and detached house units

Operating generation
capacity:Entered into mega-solar business as a pioneer ofsolar-powered condominiums■ R estructure of the detached housebusiness

Under contract:units Sold:

Purchased:

Rapidly construct a system in which 250 units are
owned by the Company(Billions of yen)

330

EquityEPS*(Billions of yen)

(Yen)

Stock and fee-based businesses profit ratio:

13 . 9％ >>>(FY2014)24 . 2％ >>>(FY2014)

Operating generation capacity:
16MW >>>MW(As of March 31, 2015) (As of March 31,2018)

Asset management business, Real estate rental
business, Real estate management business, Realestate distribution business, etc.

Number of units under management:：
38,700 units >>>units

Electric Power
Generation Business
Real EstateManagement Business

Real estate rental business net sales:
2,898 million yen >>>million yen

Real Estate Rental
Business
Real Estate Distribution
Business(As of March 31, 2015)

Performance Goals(Millions of yen)

Ordinary income

112,750
Net sales(Millions of yen)

(Millions of yen)

Changes to the market environment

Dividends / Capital Policy

Expected toachieve in the
final year

Significant growth in net
sales due to expansion of
the liquidation business30% or more

Dividends + Treasury share purchase(Net income basis)

Updated the Medium-Term Management Plan one year ahead of schedule following
the achievement of performance goals and changes in the benefit structure

Achieved in
all of the
fiscal years

・Rise in construction costs (remaining high)External
Environment ・Postponement of schedule for completion of
construction (prolonged construction schedules)
・Decline in workforce due to aging population anddwindling birthrate, difficultly in retaining humanresources(As of March 31, 2018)(FY2017)(FY2014)

Performance Goals

Operating income％(FY2017)

Review

Achieved aheadof schedule％(FY2017)

Ratio of new built-for-sale condominium units sold inregional city centers:

Review* Ordinary income basis after treasury share deductions

Takara Leben Annual Report 2020

units

▪Constructed a system in which 250 units are owned by the Company

Quantitative Goals

33

Redevelopment &Rebuilding BusinessBusiness Charged with
Effective Use of Land■ E xpanding stock and fee-based
business

units (FY2014)

75,000 9,500 8,700

Cash anddeposits

Strengthen businesses other than the new built-forsale condominium business in the Tokyo
Metropolitan area

units

(FY2014)▪Established bases in western and eastern Japan▪O wned lands for approximately 2,600 units

Stable supply of over 200 units annually—Diversifying Flow Businesses and Expanding Stock andFee-Based Businesses—

Achievements■ D iversifying flow businesses

Strategy for
Local Cities
Detached House
Business

MW (FY2014)

Number of units supplied in regional city centers:■ Stable supply of condominiums inregional city centers

Net sales% (FY2014)▪Supplied a total of 3,865 units in solar-powered condominiums (As of March 31, 2015)▪Ranked 1st in Japan for four consecutive years■ Entry to mega-solar business“Beginning of a New Era for Takara Leben”■ Profit ratio
Aim for 35% or more for stock andfee-based businesses

units (FY2014)

Ratio of solar-powered condominiums:

Solar-powered condominiums account for more than
50% annually (on a building basis)

Fiscal Year Ended March 2016 to Fiscal Year Ended March 2019

Plan Basics(total for new built-for-sale condominiums and detached houses)■ Promote solar-powered condominiums(Millions of yen)

Theme

Achievements■ Steady increase in number ofunits sold10

Next Stage 2019

Fiscal Year Ended March 2013 to Fiscal Year Ended March 2016

10,000Net income

Net income goal not
expected to beachieved(Millions of yen)

Increased human resources-related costs

・Increase in personnel expenses (workstyle
Internal
reforms, etc.)
Environment
・Increased recruitment costs

Increase in prior investment due to businessdiversification

・Significant increase in fixed assets and debt, etc.
・O verseas investment

Updated in response to a major divergence from the plan due to changes in the market environment and expanded fields of businessTakara Leben Annual Report 202011

Growth Strategy

営業利益（百万円）

売上高（百万円）

Overview of Medium-Term Management Plan
(Fiscal Year Ended March 2019 to Fiscal Year Ending March 2021)
Theme

Evolution through Sustainable Change— Innovation for a New Lifestyle. —Strategies by Segment

Basic Policy

Real Estate
Sales Business

Establishingstable andsustainablefoundations for
growthNew Built-for-sale Condominiums• Targets centered on families, also single-person/DINKs, active
seniors• Supply of location-oriented, compact condominiums

Net Sales

Operating Income(Millions of yen)
200,000(Millions of yen)
15,00012,000120,000

9,000

当期利益（百万円）
40,000• Outskirts of Tokyo metro area, within 10 minutes walk of station• T horough implementation of short-term return cycle to complement
long-term cycle of condominiums

Renewal Resale• Uptake of expanding used condominiums needs• Increase number of owned units, develop a business cycle

Liquidation• Diversification of exit points, such as REITs, private funds, bridge funds

Real Estate Rental
Business

3,000

Next Stage 20160•D
 evelopment of residences utilizing knowhow, ensuring stablerevenue

Real EstateManagement BusinessElectric Power
Generation Business• Development of environment-friendly renewable energy• E xpanded size of infrastructure funds, incorporation of post-salecommission income

Responding
to ESG

Other Businesses• E xpansion of revenue derived from each segment•O verseas expansion to supplement domestic businesses

Net Sales(Millions of yen)
(FY2020)

Operating Income

Ordinary Income(Millions of yen)
(FY2020)(Millions of yen)
(FY2020)9,000
Net Income Attributable to
Owners of Parent(Millions of yen)
(FY2020)

5,361

4,000

12

7.1

8

2,000

4

Next Stage 2019

Current Medium-Term
Management Plan

2013.3 2014.3 2015.3 2016.3 2017.3 2018.3 2019.3 2020.3

ROE

Next Stage 20160

Next Stage 2019

Current Medium-Term
Management Plan

2013.3 2014.3 2015.3 2016.3 2017.3 2018.3 2019.3 2020.3

D/E Ratio(%)
25(Times)
3

2.2

20
2

15

10.9

Next Stage 2016

配当性向（％）
1
Next Stage 2019

Current Medium-Term
Management Plan

2013.3 2014.3 2015.3 2016.3 2017.3 2018.3 2019.3 2020.3

Next Stage 20160

Next Stage 2019

Current Medium-Term
Management Plan

2013.3 2014.3 2015.3 2016.3 2017.3 2018.3 2019.3 2020.3

Dividend payout ratio

25~30%

Dividend Payout Ratio

Power Generation(Every fiscal year)

(MW)
150

30 %

Less thanEquity Ratio

LTV

D/E Ratio

ROE(Fiscal year ending March 2021)(Every fiscal year ending March)(Every fiscal year ending March)(Every fiscal year)

Takara Leben Annual Report 2020

3 times12

ネットD/Eレシオ（倍）

125

120

Less thanCurrent Medium-Term
Management Plan

16

ROE（％）0Management Index

60 %Next Stage 20192013.3 2014.3 2015.3 2016.3 2017.3 2018.3 2019.3 2020.3

(%)

6,000

5

170,000 14,500 13,000

Next Stage 2016
0

Operating Income Margin(Millions of yen)
8,000

10
発電規模（MW)

Performance Goals

Current Medium-Term
Management Plan

2013.3 2014.3 2015.3 2016.3 2017.3 2018.3 2019.3 2020.3

Next Stage 2016

• Replace other companies in management with competitive services• Spin-off into Other businesses, such as large-scale repair works

Next Stage 2019

Net Income

011,9016,000
営業利益率（％）

80,000

New Detached Houses

Diversifying
the businessportfolio

168,493160,000

15 %

38.4

(%)
40

30

90
20
60
30
0

Next Stage 2016

Next Stage 2019

Current Medium-Term
Management Plan

2013.3 2014.3 2015.3 2016.3 2017.3 2018.3 2019.3 2020.3

10

Next Stage 20160

Next Stage 2019

Current Medium-Term
Management Plan

2013.3 2014.3 2015.3 2016.3 2017.3 2018.3 2019.3 2020.3

Takara Leben Annual Report 202013

Measures Adopted in Each Business
Real Estate Sales Business
The Takara Leben Group supplies condominiums thatflexibly address changes in the lifestyles and value of ourcustomers. With the full-scale launch of the liquidation
business that leverages the Group’s real estate development capabilities, the Company is now diversifying flowbusinesses beyond the new built-for-sale condominium business. In thefiscal term under review, net sales in the business reached 129,649
million yen, up 23.7% year on year, including sales of 77,171 million yen in
the new built-for-sale condominium business, 7,808 million yen in the newdetached house business, 3,431 million yen in the renewal resale business, and 37,854 million yen in the liquidation business. Despite someconcern over the effects from the COVID-19 pandemic, the Company infiscal 2020 will work in product planning to capture the essence of thetimes, particularly in the LEBEN series of company-planned new built-forsale condominiums.

——Net sales (Millions of yen)
Gross profit margin

129,649
104,823
79,341
21.5%

2018.3

17.4%

20.1%

2019.32020.3

New Built-for-Sale Condominium BusinessAs part of our commitment to offering condominium brands
tailor-made to the increasing diverse lifestyles of our customers, the new built-for-sale condominium business inaddition to mainstay brand LEBEN and high-average-grade
THE LEBEN condominiums, now offers urban-based
compact condominiums for single-person and double-income-no-kids couples under the NEBEL brand. In the fiscal
term under review, the business sold 1,955 units, exceeding the initial forecast of 1,950 units, with net sales andgross profit both living up to our forecasts. Net sales during
the year rose a strong 34.9% year on year. We have seensmooth progress in our efforts to acquire land in regional
cities over the past few years, with metropolitan area* ratio
dropping from 57.8% in fiscal 2018 to 42.7% in fiscal 2019as our range of supply expands to encompass the entire
country. In regional city centers, there is a government-led
trend toward compact city development, and strong demand for condominiums in regional city centers continues.

Renewal Resale Business
The market for used condominiums has been booming in the last
few years, and in order to capture demand for used condominiums
areas where land value is considered high, the Company has
5,829 in5,965
5,472
been making full use of its nationwide information
network to seek
5,046
out and purchase used condominiums
that are mainly being used
4,512
4,000locations are vacated by thefor rental
purposes. Once these
26.7%
leaseholders, they are restored and refurbished before being resold.
24.6%
20.7%This business model enables a stable earnings cycle because
condominiums under lease can be purchased less expensively than
14.0%
11.4%
vacant condominiums, while at12.6%
the sametime generating
rental income
from the leaseholder while occupied. The renewal resale businessproduced net sales of 3,431 million yen in the fiscal year under review,2018.3 2019.3 exceeding
2020.3 the forecast by 26.2%,
2018.32020.3
with 2019.3
the numberof units purchased
exceeding the forecast by 31 year on year to 271. The number of units
held at the end of the fiscal year rose steadily to 386 units.

6,850

20,982
6,045

18,2393,797

10,79428.9%

341.3% 42.4%

15.0%
13.2%
2018.32019.32020.32018.32019.32020.3

Typical condominium following refurbishment

Liquidation Business
The liquidation business is a new earnings pillar for the Company that makes themost out of the Group’s development capabilities, information collection capabilities, and other knowhow as a general real estate business developer. In the fiscal
year under review, the business invested a total of 30,200 million yen in residences
and offices. Sales amounted to 37,854 million yen, including five properties soldfor a total of 10,755 million yen to Takara Leben Real Estate Investment Corporation (TLR)—listed on the Tokyo Stock Exchange Real Estate Investment Trust
Securities Market in July 2018 and backed by investment from four companies,
including Takara Leben—and sales to private and bridge funds of 7,768 million
yen. While maintaining a firm eye on conditions in regard to COVID-19, the business in fiscal 2020 aims to continue investing in new and high-quality properties.
With the goal of creating an optimal portfolio for the business, we closely monitor
market trends to determine the appropriate timing for any sales.

LEBEN Tsuruse Grandrex

L.Biz Suidobashi*The Tokyo Metropolitan area, Chubu and Kinki

14

ESG Initiatives through BusinessTakara Leben Growth Strategies

Reconstruction Project for JR Odawara Ekimae Condominium

Comprehensive J-REIT Takara Leben Real Estate Investment Corporation

Rebuilding apartment buildings, such as condominiums and housing complexes, that havedeteriorated or aged considerably provides a sense of reassurance in the event of a disaster,
revitalizes local areas, and encourages young families to move into local areas. Through ourredevelopment business, we seek to improve the functionality and habitability of cities while
addressing issues faced by regional cities, such as shrinking and aging populations, andcontributing to the development of safe and appealing towns that set residents at ease. The
Odawara Ekimae Condominium Reconstruction Project, in which Takara Leben is participating, began in 2020. This is a project to rebuild a 42-year-old, deteriorated condominium
building adjacent to the Odawara Station West Exit Rotary on the JR Tokaido Main Line andthe adjacent municipal motorcycle parking area. The reconstructed building is planned tohave 187 residential units as well as stores and a medical facility on the lower floors.

Takara Leben Real Estate Investment Corporation was listed on the Tokyo Stock
Exchange REIT Securities Market in July 2018 under the joint sponsorship of four
companies—Takara Leben Co., Ltd., PAG Investment Management Limited, Kyoritsu
Maintenance Co., Ltd., and Yamada Denki Co., Ltd.
The Investment Corporation aims to realize “steady growth” and “stable management” by utilizing a multi-sponsor-type management system that combines the expertise and knowhow of sponsor companies that possess different strengths.
Seeking synergistic effects from the business models of each company, including
the REIT composition, the Takara Leben Group will work to further expand its business.

Takara Leben Annual Report 2020

(Tentative name) Odawara Ekimae
Condominium (image)

LUXENA KACHIDOKI

Takara Leben Annual Report 202015

Measures Adopted in Each Business
Real Estate Rental BusinessElectric Power Generation Business

The Company as a lender is developing a business thatleases out condominiums, office building and other realestate throughout Japan. In the fiscal129,649
year under review,
we actively acquired rental properties and secured stableprofits. The Real Estate Rental
Business recorded sales
104,823of 5,965 million yen, up 2.3% year on year, with its gross profit margin
rising from 20.7% to 26.7%, exceeding79,341
our initial forecast by 6.8 percentage points. Due to the COVID-19 pandemic, rental income may be affected in the next fiscal year, but we will mainly develop and purchase residences for which there is expected to 21.5%
be stable20.1%
demand andthat are17.4%
relatively unaffected by the economy and diversify area risks throughnationwide expansion. We will accumulate stable rental income as astock business.
2018.32019.32020.3

Real Estate Management Business
——Net sales (Millions of yen)
Gross profit margin

129,649
5,829

5,965 104,823

Takara Leben is developing a nationwide electric power
generation business using renewable energy sources. For
the fiscal year under review, the business recorded net
20,982
sales of 20,982 million yen, up a sharp 94.4% year on
6,045
5,965
year,18,239
due mainly to the sale of seven facilities for 13,858

16

Net sales (Millions of yen)
Gross profit margin

6,850

20,982

3,797

41.3%

2018.3

Other Businesses

ESG Initiatives through BusinessTakara Leben Growth Strategies

GRESB Assessments Acquired

THE MINATO RESIDENCE Project

Takara Leben Infrastructure Fund took part in the FY2019 Global Real Estate Sustainability Benchmark (GRESB)* infrastructure assessment, and was rated four out of fivestars for both asset and fund assessments. Furthermore, in the fund assessment, it
was the first Japanese infrastructure fund to be selected as a Sector Leader in Asia. In
the FY2019 GRESB real estate assessment, Takara Leben Real Estate Investment
Corporation received a Green Star, indicating high evaluations in both the “Management & Policy” and “Implementation & Measurement” ESG assessments.

We are advancing the first large-scale condominium development project by an
all-Japanese consortium in Hai Phong, Vietnam’s third most populous city. Under theconcept of Eternal Value, THE MINATO RESIDENCE condominium complex—featuring
26 floors above ground, a total of 924 units in two buildings, and commercial facilities—
is expected to become a new symbol of the new Water Front City area located along
the Lach Tray river.
In the years to come, we will meet the housing needs in Hai Phong, which is expected to grow significantly as an international port city, and thus contribute to Vietnam’s
urban development.

Takara Leben Annual Report 2020——

18,239
5,829
5,472
5,472
business is not
5,046million yen to Takara Leben Infrastructure Fund. Since the
5,046
4,512
4,512
particularly susceptible to boom and bust market
trends, we intend to79,341
4,000
4,000
26.7%
26.7%
3,797
carry out our buying
and selling activities
on an ongoing basis.
Cumula10,794
10,794
tive operating generation capacity at the power generation facilities,
24.6%
24.6%
28.9%
28.9%
37.9%
21.5%
42.4%
including
those
sold,
improved
from
119
MW
at
the
end
of
the
previous
41.3%
20.7%
20.7%
17.4%
20.1%
fiscal year to 125 MW. In the fiscal year underreview, the Group pur15.0%
15.0%
14.0%
11.4%
14.0%
11.4%
chased 57MW, which includes
projects
currently
underdevelopment.
As
12.6%
12.6%
13.2%
13.2%
a result, total power generation capacity stood at 206 MW, which includes 114 MW at sold facilities, 11 MW at facilities not yet sold, and 81
2018.3 2019.3 2020.3
2018.32019.3 2020.3
2018.32020.32018.3 2019.3 2020.3 2018.3 2019.3 2020.3
2018.3 2019.3 2020.32018.3 2019.3 2020.3
2018.3 2019.3 2020.3
MW 2019.3
at facilities
underdevelopment.

  Net sales (Millions of yen)In addition to Group properties, the Company also manThe Other businesses segment includes sales and bro—— Gross profit margin
ages and operates rental properties and condominiums
kerage fees, management compensation, revenue from
owned by other companies. For the fiscal term undercontract construction work, revenue from repair work,
129,649
6,850
129,649
20,982
20,982
review, the number of units under management expanded
and other income not included in reportablesegments. In
6,045under review,
5,965
18,239by 5,711 year on year (1,784 units
owned by Takara104,823
Leben
the fiscal term
revenues from other busi5,829
18,2395,829 5,965
104,8235,472
5,472Group and 3,927 units owned by other companies) to 59,747. Moreover,nesses totaled 5,046
6,850 million yen, up 13.3% year on year, with growth
5,046
4,512
the renewal rate for general management contracts has remained at adriven inpart by building construction revenue rising 66.0% year on year
4,512
79,341
79,341
4,000
4,000
26.7%
high level, reaching 99.8% as of the end of March 2020. Sales26.7%
in theto 2,652 million yen,which exceeded forecasts by 26.3%.
3,797
10,794
10,794 2019 establishedbusiness, stemming mainly from management revenue, improved 11.9%
In the overseas business, the Company in December
24.6%
24.6%
28.9%
37.9%
21.5%
21.5% propyear 20.1%
on year to 5,046
million yen. While the increasein non-Group
Leben Community41.3%
Vietnam42.4%
Co., Ltd. as28.9%
a subsidiary in Hai Phong, Viet20.7%
17.4%
20.7%
17.4%
20.1%
erties over the past few years has contributed to a lower gross profit
nam to carry out condominium management operations for THE
MINATO
15.0%
15.0%
14.0%
11.4%
14.0% a joint 11.4%
margin, the number of future large-scale repair projects derived fromRESIDENCE,
development project between the Company and
12.6%
12.6%
13.2%
13.2%
consigned management properties is increasing. Going forward, theFujita Corporation. Takara Leben will continue to contribute to urbanGroup aims to capture consigned management properties through agdevelopment in line with the expected expansion in housing needs in2018.32019.32020.32018.32019.32020.32018.32019.32020.32018.32019.32020.32018.3 2019.3 2020.3 2018.3 2019.3 2020.3
2018.3 2019.3 2020.3
2018.3 2019.3 2020.3
2018.32019.32020.3
gressive efforts to gain replacement contracts.
countries
overseas.

* Global Real Estate Sustainability Benchmark (GRESB):The name of the benchmarks used to measure the environmental, social, and governance (ESG) performance of real
asset (real estate, infrastructure facility, etc.) portfolios, established by a group of major European pension funds that led
the Principles for Responsible Investment (PRI), as well as the name of the organization that manages this benchmarking.




——

Net sales (Millions of yen)
Gross profit margin

6,850
6,045

3,797
41.3% 42.4%

2018.32019.337.9%

2020.3The exterior (image)Takara Leben Annual Report 2020

17

ESG Management
CSR Report 2020
https://www.leben.co.jp/en/csr/assets/booklet/booklet-2020.pdf

CSR Basic Policy
The Takara Leben Group will achieve its corporate vision
of “THINK HAPPINESS AND MAKE THE HAPPINESS”
while working to earn the trust of various stakeholders
and society. We will contribute to solutions to social
issues and achieving the Sustainable Development Goals(SDGs) by undertaking CSR initiatives through ourbusiness including supplying housing and introducing
natural energy as we strive for continuous growth.

Shareholders
and investors

Local
communities,
NPOs, and
NGOs

Media

Governments

Executive Committee
Frequency: Twice each month
Participants: Directors, auditors, and executive officers
Content: Decisions on measures; confirmation of progress
Executive in Charge of CSR
CSR Promotion Team

2

STEP

3

18

Evaluate significance from the Takara Leben Group’s perspective
We utilized questionnaires completed by all employees including
management and officers to identify relations between social issues and ourbusiness and Group philosophy, and rank them in accordance with priority.
Evaluate importance from our stakeholders’ perspectives
We utilized questionnaires completed by customers, shareholders andinvestors, and business partners and drew on international guidelines suchas the GRI and the SDGs to rank issues.

STEP

Set policies for key CSR themes
Policies were set for the four key CSR themes.

Takara Leben Annual Report 2020

Forming Communities

Q Urban development andWe form communities withstakeholders—such as local
communities, trading partners, andemployees—and aim for growth
together.

Q Construction andthat respond to changing
social issues and needs.
J Provide lifestyles that harmo-

nize residents and surrounding environments, such as the
LEBEN or NEBEL brands.

creating towns
maintenance of acorporate governancesystemQ Promoting complianceQ Employee healthmanagement
Q Encouraging employment

of diverse humanresources

Providing Comfortable
Spaces of High Quality
We support the comfortable and safe
living of our customers by providing
products bringing great satisfaction
to our customers.

Q Providing safe, secure

products and services
Q Improving customer

satisfaction
Q Improving value ofbuildings

J Contributing to the revitalizationof regional areas through our
regional city revitalization
business, which connects urban
and regional areas.
J Improve our ability to respond torisk through thorough risk
assessment and management.
J Provide opportunities andenvironments where a diverse
range of people can work
energetically.
J Corporate activities that can
respond to social needs with anemphasis on dialogues with our
stakeholders.
J Improve customer satisfactionlevels through the use of our
proprietary Service Quality
Management System (SQMS®).
J Create housing that combines

both design and habitability,
pursuing the performance of
housing.
J Improve building value throughGrasp and organize social issues
We identified 31 issues relating to the business environment based on GRI,
SDGs, SASB and other international guidelines, as well as our Groupphilosophy and Medium-Term Management Plan and demands from ourcustomers, shareholders and investors, local communities, employees andother stakeholders.

45business models brought
by an ageing society anddepopulation

Takara Leben Group CSR Staff
Business activities: Execution of policies and progress
management

Identify key issues
Priorities were revised from the perspectives of the Takara Leben Group andour stakeholders, a review was conducted by management, and then the key
issues were identified.

STEP

We contribute to improving therichness of people’s lifestyles bycreating new value.

Scope of work: Formulation of direction; proposal of measures;
implementation and awareness-raising of
measures; progress management

regular repairs and renovations
to improve building comfort,
functionality, and safety.
Priorities for stakeholders

STEP

lifestyles and globalization
Q Responses to changes to

Policies
J Provide products and services

Representative Director

At the Takara Leben Group, we have identified key CSR themes and key issues through the following steps.

1

Q Support for diversifying

Related SDGs

Executives andemployees

Process of Selecting Key CSR Themes and Identifying Key Issues

STEP

Creating Lifestyles
with ValueKey Issues

Trading
partners

CSR Promotion Framework
To link CSR activities to the improvement of corporate
value for all Group companies, we are building a
promotion framework which spans across all companies.
We are also building a vertical promotion framework
unifying management with business activities by making
decisions and reporting at our Executive Committee
meetings as appropriate.
In addition, we are organizing training for executives of
all Group companies and staff in charge of CSR. We arealso providing opportunities for information sharing anddiscussion with ground staff.
Moving forward, we will further strengthen our activities
and create new value by creating environments where
employees can take ownership in working on CSR
activities, and by reaffirming awareness of critical issues.

Key CSR Themes

Customers
Competitors

High

High

Priorities for the Takara Leben Group

Developing Environments
and Cultures

Q Providing buildings andWe contribute to a sustainable society
by actively working on environmental
issues, and at the same time, contributeto improving quality of life by providing
opportunities for mental activities suchas learning and practicing the arts.

Q Responses to global

spaces that consider theenvironment and culture
warming
Q Initiatives for renewableenergyQ Effective use of resources
Q Responses to disasters

J Reduce greenhouse gas

emissions through supplying
housing with high environmental performance and ourrenewable energy power
generation business.
J Provide seismic-resistant andfire-resistant housing that canwithstand natural disasters.
J Provide opportunities for

cultural activities to our stakeholders.

Takara Leben Annual Report 202019

Environment

SocialRenewable Energy “Solar Power ”

Creating Workplace Environments that Facilitate Work

The Takara Leben Group conducts electric power generation business utilizing renewable energy that contributes to reductions in the emissions of CO2, a greenhouse gas. Since 2013, we have been constructing
mega-solar power generation facilities on idle land all over Japan for large-scale solar power generation.

The Takara Leben Group works to create workplaces where employees can demonstrate their enthusiasm and fullcapabilities. We act with respect for the fundamental human rights of all stakeholders, including employees, whileobserving laws and regulations, social ethical norms, and matters specified in ethical rules within the Group.

The LS Hiroshima Mihara Power Generation Facility in Yamanakano, Kui-cho, Mihara City,
Hiroshima Prefecture, where the ceremony marking the completion of construction was heldin May 2019, has three disaster preparedness ponds. These also play a role in disaster
preparedness for the community, such as helping to prevent flood damage during the heavy
rains experienced by western Japan in July 2018. In December 2019, we launched two
projects: the LS Tottori Daisen Power Generation Facility (tentative name), which utilizes landthat was formerly a golf course at the foot of Mt. Daisen, the highest peak in the Chugoku
region; and the LS Miyagi Matsushima Power Generation Facility (tentative name), which uses
the former site of a gravel quarry located on the north side of the Matsushima Kita interchange on the Sanriku Expressway. In both projects, we are contributing to the local community by acquiring idle land and using it for power generation facility lots. The Takara Leben Group will continue to value the relationships of trust it has established with local communities while actively investing in renewable energy.

Cleaning Time

Introduction of a Telework System

The Takara Leben Head Office has “cleaning times” twice
per month for personnel to clean and organize theiroffices. At a designated time, an announcement is playedin the workplace, and all personnel stops working andspend 15 minutes organizing around the desk and cleaning the area specified for the day. No more wasted timespent looking for documents and materials, and the lessthat is within their range of vision, the greater their concentration becomes.

From April 2019, Takara Leben introduced a teleworksystem, supporting more diverse employee work styles.
Employees who meet specific conditions, such as conditions related to the content of their work or family circumstances, can work remotely, without coming to the office,up to three times a week. With the aim of becoming acompany that can work flexibly regardless of location ortime, we will promote this telework system from theperspective of the Business Continuity Plan (BCP).

Initiatives Geared toward Local Communities
Art Biotop
We are collaborating with nikissimo Inc. on the Art Biotop Botanical Garden project as one of our symbolic
businesses to mark the 50th anniversary of Takara Leben’s founding. Located in the Yokozawa area at thefoot of the Nasu mountains amid abundant nature, the Art Biotop project is a new form of resort that proposes a new relationship between humans and nature.

“Water Garden” Landscape Art Selected for Good Design Award 2019 Best 100
Created at the Art Biotop resort in Nasu Town, Tochigi Prefecture, theWater Garden interweaves a carefully calculated arrangement of 318 trees
and 160 biotopes (ponds) of varying sizes. In the judging, the Water Garden was evaluated highly for the beauty of the artistic biotopes, which
differ from natural biotopes. These artistic biotopes were recognized as
embodiments of the living spirit of Japanese gardens. The Water Garden
has been introduced by countless media, both Japanese and international, as a special meditation space in which visitors can clear their senses
and feel the ties between people and nature. It is already drawing attention
from around the world.

Name: Art Biotop
Development facilities: Water Garden landscape art (currently in operation)/Suite Villa (planned to open in October 2020)/Residence(currently in operation)/Restaurant μ (planned to open in October 2020)/Café Kantan (currently in operation)

20

Takara Leben Annual Report 2020

As a developer involved in urban development, the Takara Leben Group promotes the formation and development of communities and is continuing efforts that lead to regional revitalization, such as redevelopment
and its participation in regional events.
Winner of Kids Design Award for “Yajirushi”
Emergency Shelter Guidance Signs
Realizing the need for emergency shelter guidance signs thatare clear and easy to understand for everyone, including
small children, in residential areas with few landmarks, Nikko
Takara Corporation manufactured and installed “Yajirushi”
evacuation shelter guidance signs on its subdivisions. In the
future, if requested, we will also supply these signs to othercompanies’ subdivisions, government agencies, and otherorganizations, aiming to contribute to the overall disaster
preparedness of local communities. These “Yajirushi” signs
contain only essential information to make them easier tounderstand for children, and use highly
creative, expressive
approaches. In recognition of this, they wereawarded the Encouragement Prize in the2019 Kids DesignAward.

“USE OF MODEL ROOMS AND
SALES CENTERS AS DISASTERRESPONSE SITES” Project
The model rooms created when selling built-for-sale condominiums show customers what completed built-for-salecondominiums will be like and serve as sales negotiationsites. We are promoting the outfitting of model rooms withthe supplies and equipment needed in the event of a disaster—including daily necessities such as water, and charging
facilities for mobile phones using in-house generators—and
opening them to the general public as disaster relief sites. Asof the end of March 2020, we have begun operating two ofthese sites, and plan to increase that number to seven. We
will actively use ourexpertise in efforts
such as supplying
condominium unit
buyers with disaster
relief kits, and willfurther expand thesesites.

Takara Leben Annual Report 202021

Corporate Governance
Basic Approachbusiness while responding in ways that keep in mind
what our company should achieve and for whom will leadto sound and efficient business management as a going
concern.
Furthermore, by not limiting ourselves to a systematic
check and balance function but rather by spreading theroots as indexes or systems, we will work so that thecheck and balance across the entire company will function in sync with each person’s awareness.

Rather than simply pursuing profit, Takara Leben strongly
think that it must comply with laws and corporate ethics
and carry out its duties as a responsible member ofsociety.
While maintaining close relationships with customers,
shareholders, and employees—our core stakeholders—
we continuously consider how we can deliver further
satisfaction. In addition, we think that reflecting the feedback received from various other stakeholders in our

Corporate Governance Systemsupervisory roles of directors and the business execution
responsibilities of executive officers.

In addition to prudent and swift decision making by the
Board of Directors, Takara Leben has built a system toensure management proprieties, such as appropriate
mutual supervision by directors over the state of businessexecution, and audit and supervision by auditors overdirectors’ state of business execution. We also introduced
an executive officer system to clarify the management

Board of Directors
Takara Leben has appointed 13 directors, four of whom
are outside directors. All four outside directors have been
designated as independent officers. In addition to carry-

Corporate Governance System

Ordinary General Meeting of Shareholders
Election

Election/
Supervision

Representative
Director

ReportDirection

ReportCollaboration

ReportReportAudit

Collaboration

Subsidiaries and Affiliates

Takara Leben Annual Report 2020

Leben Community Co., Ltd.

Takara Leben Tohoku Co., Ltd.

Takara Leben West Japan Co., Ltd.

Nikko Takara Corporation Co., Ltd.

Takara Leben Realnet Co., Ltd.

Leben Zestock Co., Ltd.

Leben Trust Co., Ltd.

Takara Asset Management Co., Ltd.

Takara PAG Real Estate Advisory Ltd.

Sunwood Corporation

Audit

provide feedback to the Board based on future analysis
and evaluation results.
Executive Officer System
Having introduced an executive officer system, Takara
Leben has clarified its directors’ management oversight
responsibilities and the business execution responsibilities of its executive officers and is working to further
speed up its decision making and strengthen its businessexecution.
Audit & Supervisory Board
As a system for check and balance of decision making, allthree auditors of Takara Leben are outside corporate
auditors. Each auditor is equipped with adequate background, experience, and mettle to objectively carry out
assessments and verifications. Besides audits for Takara
Leben, the auditors are also involved in audits for ourGroup companies, such as attending their board meetings and interviewing their directors, maintaining firm
relationships with these companies. Furthermore, theauditors and the accounting auditor work to further
improve the effectiveness and efficiency of audits byunderstanding and adjusting each other’s annual schedules; going together to events such as ground inspections
and checks on model rooms, and exchanging information
as appropriate.
Internal Audit Office
Takara Leben also established guidelines on internal
audits and established an Internal Audit Office as anindependent organization reporting directly to the representative director to enhance and strengthen internal
audits. In the proposal and execution of the internal audit
plan, the office coordinates the schedules of auditors andthe Accounting Auditor and adjusts the scopes of audits
to seek efficient operation of various functions. Auditors
accompany and witness operation audits conducted by
the Internal Audit Office, and work on building an effective
and efficient audit system by means such as verifying thescope of the audit and collecting opinions as appropriate.

Reasons for Nominations of Outside Directors and Frequency of Attendance at Board of Directors’ Meetings
Name

Reason for Nomination

Attendance at Board of
Directors’ Meetings

21/ 23

Outside Director

Hitoshi
Shida

Mr. Shida was nominated for his involvement in the management of financial
institutions and business firms, his wealth of experience and achievements
regarding management, and his possession of extensive knowledge and insight.

Outside Director

KatsumiKasahara

Mr. Kasahara was nominated for his wealth of experience and achievements
as a lawyer, his extensive knowledge and insight, and his possession of ahighly mindful compliance with laws and regulations.

22 / 23

Outside Director

Kenji
KawadaMr. Kawada was nominated for his involvement in the management of financial
institutions and business firms, his wealth of experience and achievements
regarding management, and his possession of extensive knowledge and insight.

22 / 23

KentaroTaniguchi

Mr. Taniguchi was nominated for his having served many years as Representative
Director and President of business firms, his wealth of experience and achievements as a manager, and his possession of extensive knowledge and insight.

—

Audit

Audit

22

Evaluating the Effectiveness of the Board of Directors
All Takara Leben directors including outside directors andcorporate auditors complete self-evaluation questionnaires and the Board of Directors analyzes and evaluates
the effectiveness of the Board of Directors. With regard to
the evaluation of effectiveness in the fiscal year 2019,each director and corporate auditor suggested that evenmore vigorous debate be conducted within the Board of
Directors, but expressed the opinion that overall, theBoard operates appropriately and effectiveness isachieved. To ensure that adequate deliberations takeplace within the Board of Directors, we will continue toPosition

Audit

Internal Audit Office

ReportBusiness
Departments

AdviceAccounting Auditor(outside auditors)
Audit

ReportCompliance &Risk Management
Committee

Election

Audit &
Supervisory Board Collaboration

Audit(including outside
directors)

Administrative
Departments

Compensation
Committee

Board of Directors

AdviceExecutive
Officers

Nomination
Committee

Electioning out prudent and swift decision making, directors
mutually supervise the status of business execution at
Board of Directors’ meetings, which in principle are held
once a month, and also at extraordinary board meetings
which are held on an as-required basis.
Auditors are always in attendance at the Board of
Directors’ meetings and state their opinions as necessary.
At the same time, auditors work closely with outside
directors and, as necessary, audit and oversee the running of the Board of Directors’ meetings and the status ofbusiness execution. Also in attendance at the Board of
Directors’ meetings are executive officers, the head of theInternal Audit Office, and the heads of other departments,
who have received requests from the Board of Directors
based on internal regulations, and express their opinions
on each issue or reporting matter.
The Takara Leben Executive Committee meets twice amonth to discuss management issues and a Sales Conference is held once every month to discuss sales progress. In addition to sharing the achievement status ofmanagement targets at these and other meetings, theCompany gleans information on problem areas andissues in the form of performance reports from eachdepartment and deliberates important matters relating tooverall management. The content of those reports is
raised at the Board of Directors’ meetings on an as-required basis.

Outside Director(newly appointed)

Takara Leben Annual Report 202023

Corporate Governance
Executive Compensation
Directors’ compensation is determined on the basis of thedegree of each director’s contribution to business expansion and improvement in corporate value toward theCompany’s sustainable growth. The limit of the annual
amount of compensation is deemed to be 600 million yen
or less (not including, however, the employee portion of
the salary), and the limitation of the special stock optioncompensation to 300 million yen or less annually which is
decided by a resolution at an Ordinary General Meeting of
Shareholders.
The compensation of the Audit & Supervisory Board
member is determined at the Ordinary General Meeting of
Shareholders limited to an annual amount of 60 million
yen or less.
Amounts of Director and Auditor Compensation(As of March 31, 2020)
Number of people

Amount of compensation(Millions of yen)

Directors

13

404

Auditors

3

24

Total

16

429

Position(Notes) 1. The amount paid to directors does not include the employee salaries of
directors concurrently serving as employees.
2. The compensation limit for directors is up to a limit of 600 million yen per year
(excluding any salaries as employees), as approved at the 45th Ordinary
General Meeting of Shareholders held on June 27, 2017. In addition, at the43rd Ordinary General Meeting of Shareholders, held on June 24, 2015, it
was resolved that the annual amount of stock option compensation would be
up to a limit of 300 million yen.
3. At the Extraordinary General Meeting of Shareholders held on July 16, 1999,
a compensation limit of 60 million yen per year was decided for corporate
auditors.
4. The total amounts of the aforementioned compensation, etc. include thefollowing amounts as the amount of expenses in the fiscal year related tostock acquisition rights allocated as stock option compensation.
• Seven directors 31 million yen

Support Structure for Outside Officers
The Company has put in place a structure capable ofoffering to outside directors and outside auditors, upon
their request and at any time, support for their duties oroperations. It is the role of the Corporate Planning Department to provide such support services. It also makes

available advance briefings or materials concerning
agenda items at the Board of Directors’ meetings or othervarious structured meetings, upon request by outside
officers, as well as giving notice of these meetings’
schedules, adjusting itineraries, and performing othertasks.
Nomination and Compensation Committees
With the objectives of increasing objectivity and transparency in decision-making processes relating to personnel
appointments and compensation of directors and others
and further enhancing and reinforcing corporate governance structures by providing appropriate opportunities
for outside directors to participate and give advice, Takara
Leben established Nomination and Compensation Committees as voluntary advisory bodies of the Board of
Directors.
Each committee comprises three or more directors
selected by resolution of the Board of Directors, of whicha majority are independent, outside directors. The chairman of each committee is also selected by resolution of
the Board of Directors.
The committees deliberate and submit reports primarilyon the matters indicated below based on advice fromdirectors.
Nomination Committee(1) Matters relating to nomination of candidate directors,
executive officers, and others;(2) M atters relating to nomination and succession of therepresentative director;

24

Total No. ofMembers(4) O ther matters referred to the Nomination Committeeby the Board of Directors.

manage individual risks. We established the Compliance& Risk Management Committee as a body to carry out
these measures, and we implement comprehensive risk
management throughout the Group.

External Environment and Issues Surrounding the Takara Leben Group

External Environment and Issues Surrounding the Takara Leben Group
Environmental Changes in Japan

Environmental Changes in the Industry

Environmental Changes in Society

Dwindling birthrate and aging population

Lifestyle changes

Return to urban areas

Heightened recognition of ESG initiatives

Workstyle reforms

Sharp rise in construction costs

Sharp rise in sales prices

Incorporating the social environment into
investment decisions

Diversity

Stricter customer perspective

Internal Environment
Schedules for completion of construction
postponed due to lengthened project schedules

Increase in assets and debt due toexpanded areas of investment

Completion of construction concentrated in
the fourth quarter for a large number of projects

Rising personnel expenses due to increasein personnel and workstyle reforms

Thorough project schedulemanagement

Further efforts to establish
a stable revenue base

Precisely understandingneeds responding to change

ESG response

Compensation Committee(1) Matters relating to compensation of directors andexecutive officers;(2) M atters relating to basic policies and criteria on compensation of directors and others; and(3) O ther matters referred to the Compensation Committee by the Board of Directors.

No. of Standing
No. of Internal No. of Outside No. of Outside
Committee
Directors
Directors
Experts
Members

OthersCommittee
Head(Chairman)

Voluntary committee equivalent to
the Nomination
Committee

3

0

1

2

0

0

OutsideDirector

Voluntary committee equivalent to
the Compensation
Committee

3

0

1

2

0

0

OutsideDirector

Takara Leben Annual Report 2020

The fundamental risk management policies of the Takara
Leben Group are to ensure the safety of customers,
business partners, officers, employees, and their family
members, fulfill our social responsibilities, protect the
global environment, maintain ongoing business activities,
and raise corporate value. To this end, we identify and(3) M atters relating to basic policies and criteria on nomination of directors and others; andCommittee Composition

Committee
Name

Risk Management

Risk Management Structure
Business Strategy, Finance, IT & Administration, andCompliance subcommittees are established as necessary in order to promote active proposals appropriate to
the management of individual risks. In accordance with
the Compliance & Risk Management Committee Rules,
the scope of deliberations held by these subcommittees
is reported to and verified by the Compliance & Risk
Management Committee chaired by the representative
director. This committee, which meets once per month,deliberates and makes decisions regarding measures andmanagement approaches that must be taken to avoid
and mitigate risks, and takes comprehensive measures tostrengthen internal controls and prevent misconduct,
non-compliance, and other similar incidents. These
matters are also reported to the Board of Directors asnecessary, forming a structure for timely decision making
in preparation for the occurrence of risks.

Reflect in management strategies
Board of Directors
Report and verify based on rules

Compliance & Risk Management Committee
Proposals appropriate to the management of individual risks

Subcommittees
Business Strategy

Finance

IT & Administration

Compliance

Risk identification and analysis

Financial/Non-financial data, changes in the external environment, etc.

Takara Leben Annual Report 202025

Introduction of Directors

Corporate GovernanceBusiness Risks
The following items present potential risk for the operating
results, share price, financial position, etc. of the Takara
Leben Group. Forward-looking statements hereby arebased on the assessment by the Takara Leben Group asof the end of the current consolidated fiscal year.
Natural Disaster Such as Earthquake
Earthquakes and other natural disasters may directly
damage the Takara Leben Group or the construction
companies used for execution, or may make it difficult forthese construction companies to procure building materials. Any of these events may delay construction work, aswell as hamper sales and collection activity of the Takara
Leben Group, and thus impact the performance andfinancial position of the Takara Leben Group.
One countermeasure includes expanding the condominium supply area throughout the country in order todisperse the risks of concentration on a specific area.
Legal Restrictions
The business of the Group is subject to the National Land
Use Planning Act, Building Lots and Buildings Transaction
Business Act, Building Standards Act, City Planning Act,
Money Lending Control Act, Act on Advancement of
Proper Condominium Management, Long-Term Care
Insurance Act and other applicable national laws as well
as applicable ordinances, etc., of the various local governments. Should these laws, ordinances, etc., be revisedor new ones created, this may create new burdens for theGroup and potentially impact its performance and business development.
The Group accurately collects required information byjoining various industry groups, and establishes legal
compliance structures through the Compliance & Risk
Management Committee.
Effects from Purchaser Attitudes
The Takara Leben Group’s core business, new built-forsale condominiums, tends to be swayed by changes inhome buyer sentiment, which is affected by factors suchas the overall economy, residential tax regulations, consumption taxes, land prices, and interest rates. A pronounced deterioration in home buyer sentiment may
impact the performance and financial position of the
Takara Leben Group.
Effects from Housing Loans
In the purchase of condominiums, etc., our customers
often make use of home loans from home financing
support organizations and financial institutions, andtherefore credit crunches caused by unfavorable changes
in financial conditions may potentially impact the performance and financial position of the Takara Leben Group.

26

Takara Leben Annual Report 2020

Effects of Supply Trends
Sales of new build-for-sale condominiums, a core business of the Group, are greatly affected by supply trends,
such as land procurement cost and subcontracting cost
fluctuations and interest rate changes. For these reasons,conditions which impact supply trends may potentially
impact the performance and financial position of theGroup.
Effects from Competition, etc.
The Group sells real estate on a nationwide basis, but anexcessive price competition may prolong marketing
activities or cause sales at the estimated price to bedifficult. Such situations may potentially impact the performance and financial position of the Takara Leben
Group.
One countermeasure includes accurately identifying
trends among competitors and flexibly adjusting saletiming and price as a means of avoiding excessive pricecompetition.
Subcontractors
The Group entrusts the construction of its condominiums
to building contractors. However, increases in building
material costs and labor costs may raise building contract
costs, thus depressing profitability. Also, construction
companies entrusted with the construction work may
become insolvent, which may delay construction work orforce the construction company to default on its contract.
Any of these events, as well as failure by the construction
company to provide the due compensation in the future,
may impact the performance and financial position of theGroup.
Personal Information
The Group handles many types of personal information in
the course of selling and managing condominiums, etc. If
a leak of personal information occurs, it may potentially
impact the performance and financial position of theGroup. Therefore, the Group takes measures such as
introducing software designed to prevent personal information leaks, creating and maintaining relevant rules,
creating employee manuals, and providing employee
training seminars.
Other risks are identified as follows.
• Overreliance on borrowed funds• Impact of declining asset values•O pposition by neighboring residents when constructing
condominiums• Possibility of litigation, etc.



(As of June 29, 2020)

YoshioMurayama

KazuichiShimadaKazuyuki
Shimizu

Director andChairman

Representative Director,
CEO and President
Executive Officer

Director, COO andVice President
Executive Officer

Sep. 1972	Established the Company, Senior Managing Director
Mar. 1973	Representative Director and President
Apr. 2012	Representative Director and President and CEO
Apr. 2014	Representative Director and Chairman
Jun. 2016	Director and Chairman (Incumbent)

May 1987	Joined the Company
Jun. 2006	Representative Director, Vice President and Executive
General Manager of Development Division
Apr. 2014	Representative Director, President, CEO, COO and CFO
Jun. 2019	Representative Director, CEO and President Executive
Officer (Incumbent)

Oct. 2004	Joined Leben Community Co., Ltd.
May 2014	Senior Managing Director, Leben Community Co., Ltd.
May 2016	Representative Director and Vice President, Leben
Community Co., Ltd.
Jun. 2018	Representative Director, Takara Leben West Japan Co.,Ltd.
Director and Vice President
Apr. 2020	Director, COO and Vice President Executive Officer(Executive General Manager of Construction Division)(Incumbent)
May 2020	Director, Leben Community Co., Ltd. (Incumbent)

Masashi
Yamamoto

Masahiro
YoshidaShoichiAkisawa

Director, CFO, andManaging Executive
Officer

Director andManaging Executive
Officer

Director andManaging Executive
Officer

May 2016 Joined the Company
May 2017	Director, Leben Community Co., Ltd. (Incumbent)
Jun. 2017	Director, Executive Officer, Executive General Manager
of General Planning Division, General Manager ofControl Group of Corporate Planning Division,
General Manager of Personnel and General Manager ofCorporate Planning Division
Apr. 2020	Director, CFO, Managing Executive Officer, andExecutive General Manager of General Planning
Division (Incumbent)

Mar. 2001	Joined the Company
Oct. 2011	General Manager of 2nd Sales Division, Sales Division
Apr. 2014	Executive Officer and General Manager of 2nd Group of
Sales Division
Jan. 2015	Representative Director, Takara Leben Tohoku Co., Ltd.
Apr. 2020	Director, Managing Executive Officer, Executive General
Manager of Sales Division, and Manager of the SalesManagement Office (Incumbent)
May 2020	Director, Takara Leben West Japan Co., Ltd. (Incumbent)

May 2019	Representative Director, Leben Zestock Co., Ltd.
(Incumbent)
Jun. 2019	Director, Executive Officer, and Executive General
Manager of Investment Development Division
Apr. 2020	Director, Managing Executive Officer andExecutive General Manager of Investment Development
Division (Incumbent)

HiroshiIwamotoMika
TakaaraYoshitaka
TejimaDirector andExecutive Officer

Director andExecutive Officer

Director(non-permanent)

Oct. 2001 Joined the Company
Apr. 2015	General Manager of 1st Sales Division, 1st Sales Group,
Sales Division
Apr. 2017	Executive Officer and General Manager of Overall
Development Group, Development DivisionJun. 2020	Director, Executive Officer, Executive General Manager ofDevelopment Division, General Manager of Eco-Energy
Business Division, and General Manager of Overseas
Business Promotion Office (Incumbent)

Jan. 2000 	Joined the Company
Jun. 2016 	Director, Executive Officer,
General Manager of Overall Sales Group, Sales Division,
General Manager of Sales Promotion Division, andGeneral Manager of Business Division
Apr. 2019		Director, Executive Officer and Vice Executive General
Manager of Sales Division (Incumbent)

Mar. 1997	Joined the Company
Apr. 2018	Senior Managing Director, Executive Officer andExecutive General Manager of Development DivisionJun. 2019	Director, Senior Managing Executive Officer, Executive
General Manager of Development Division, and General
Manager of Eco-Energy Business Division
May 2020	Representative Director, Takara Leben West Japan Co.,
Ltd. (Incumbent)
Jun. 2020	Director (Incumbent)

Hitoshi
Shida

KatsumiKasahara

Kenji
KawadaDirector (Outside)

Director (Outside)

Director (Outside)

Apr. 1961 	Joined Nippon-Sogo Bank, Ltd. (Now Sumitomo Mitsui
Banking Corporation)
Jun. 1994 	President, The Taiheiyo Bank Ltd.
(Now Sumitomo Mitsui Banking Corporation)
Jun. 1997 	Representative Director, Yoei Co., Ltd.
Jun. 2014 	Outside Director, Takara Leben Co., Ltd. (Incumbent)

May 1973	Registered in the Roll of Attorneys (Registration no.:13897); joined the Tokyo Bar Association
May 1979	Established the Lawyer Kasahara Katsumi Law Office(Now Lawyer Kasahara Katsumi Limelight Law Office)(Incumbent)
Apr. 2013	Legal Counsel and Member of the Ethics Committee,
The Society for Preservation of Japanese Art Swords(Incumbent)
Jun. 2015	Outside Director, Takara Leben Co., Ltd. (Incumbent)

May 2003	Representative Director and President, Resona
Holdings, Inc.
Jan. 2016	Representative of TMA KAWADA OFFICE (Incumbent)
Jun. 2017	Outside Director, PE&HR Co., Ltd. (Incumbent)
Outside Director, Takara Leben Co., Ltd. (Incumbent)
Jun. 2018	Outside Auditor, Konishi Co., Ltd. (Incumbent)

KentaroTaniguchi
Director (Outside)

Feb. 2000	Joined SOFTBANK E-COMMERCE CORP. (Now Softbank
Corp.)
General Manager of New Business Department
Mar. 2001	Representative Director and Vice President, CMnet
Corporation
Jan. 2006	Director and COO, DeeCorp Limited
Apr. 2006	Director and President, DeeCorp Finance Limited
Jun. 2020	Representative Director and Chairman DeeCorp Limited(Incumbent)
Outside Director, Takara Leben Co., Ltd. (Incumbent)

Takara Leben Annual Report 202027

Interview with an Outside Director

Kenji Kawada
Outside Director

Personal
History

May 2003

January 2016

June 2017

June 2018

Representative Director andPresident,
Resona Holdings, Inc.

Representative of
TMA KAWADA OFFICE(Incumbent)

Outside Director, PE&HR Co., Ltd.
(Incumbent)
Outside Director,
Takara Leben Co., Ltd. (Incumbent)

Outside Auditor, Konishi Co., Ltd.
(Incumbent)

We interviewed Mr. Kenji Kawada, who has been an outside director of Takara Leben since 2017. In 2003, when the
Resona Group became Resona Holdings, he served as its Representative Director and President. Mr. Kawada
possesses in-depth knowledge of corporate management and governance system building, for example from having
been at the helm of the first company in the banking industry to adopt a Company with three Committees system.

Q1
Mr. Kawada, from your perspective, what kindof company do you consider Takara Leben tobe?
Takara Leben is young for a public company but in termsof business performance is a company that is continuing
to grow as an independent general real estate businessdeveloper. Specifically, with built-for-sale condominiums
as its core business, the Company is characterized byadding value to each stage in its value chain, from realestate purchasing to sales and management.
In other words, the Company is establishing the
Takara Leben brand in each stage in its value chain,comprising real estate purchasing, development, sales,
rental, condominium management, rebuilding andredevelopment. From this point forward, its businessportfolio is set to expand year by year, for example in theform of electric power generation business as a derived
business and as a REIT for a real estate liquidation
business, while developing its infrastructure fundbusiness.
In terms of its corporate culture, the Company has

28

Takara Leben Annual Report 2020

built a corporate culture in which people work cheerfullyand derive enjoyment from their work, and where thereis open communication. Including the management
team, all employees are proactive and full of motivation
to grow. From the perspective of this business overview
and corporate culture, I assess Takara Leben as acompany with resilience and dedication that is resistantto adverse impacts and external shocks.

Q2
Please tell us about the characteristics ofTakara Leben’s corporate governancephilosophy and system.
I consider the most important issues in corporate
governance are to work to achieve sustainable corporate
growth and to foster trust and expectations for
management from each stakeholder.
In addition to promoting management reforms every
fiscal year, the Company attaches great importance tothe transparency of matters approved by the Board of
Directors, which is required as a listed company.

Approved matters have to be explainable externally, andthe Board of Directors will not approve anything withouta clear reason in light of business judgment rules.
I think that it is necessary for a director to emphasize
compliance, to deliver results, to have foresight as amanager, to maintain the physical ability to act boldly inbusiness activities, and to possess an affinity thatfacilitates cooperation. I am therefore proposing thatthese five requirements be used as the criteria forevaluating the ability of directors. The Nomination
Committee and the Compensation Committee, which
are mainly composed of outside directors, discussmatters that include the nomination and compensationin light of these criteria and report the content of
discussions and decisions to the Board of Directors.
Including CEO Shimada, the Takara Leben
management team maintains an awareness ofcompliance, possesses the ability to improve businessperformance and foresight as managers while boldly
carrying out its business activities. Its spirit ofcooperation is also excellent, so that any of them canwork together. Daily efforts are essential indemonstrating these abilities. Whereas internal directors
are required to improve their expertise in each field,
outside directors are required to update their knowledgein accordance with social conditions, in addition topractical experience in corporate management andexpertise in legal and accounting fields. Naturally theCompany has adopted a corporate governance system,
but Takara Leben’s is characterized by ongoing
management reforms every fiscal year and corporate
governance that is substantially and constantly evolving.

Q3
What are your thoughts on the role of outside
directors at Board of Directors’ meetings?
The role of internal directors has two aspects: businessexecution and management oversight by means of theBoard of Directors. In contrast, the main role of outside
directors is to offer their opinions on the sustainablegrowth of corporate value through the management
oversight function entrusted to them by eachstakeholder. Companies are professional groups, andsince it is important for outside directors to point things
out with regard to the efforts of those companies’
businesses from the perspective of broader society, it isimperative that they possess the ability to feel thetrending movements of society.
To do that, we first need to understand the history of acompany. The expression “pull the heartstrings” is used,
but for a company the heartstrings are the DNA lodged

in its history that has been changing in keeping with thetimes. Moreover, since we are in the here and now, by
fully understanding the history, we are able to give
advice so that it pulls the heartstrings.
Since outside directors are required to accurately
grasp not only the business content of the companies
they advise but also social changes, talented andversatile personnel are required. It is important to pointout things that are difficult to see from the inside, from adifferent perspective to that of the internal directors. To
make a comprehensive judgment based on different
opinions, the Company side should thoroughly deepen
its expertise in its core business and strive to adapt theinsights they have thereby gained to the times.

Q4
What do you expect from Takara Leben going
forward?
To put CSR initiatives into effect, Takara Leben has
adopted ESG compliance at the core of its MediumTerm Management Plan and set out the key SDG-related
issues in last fiscal year’s annual report.
The Companywide challenge is to first make thisconcept a familiar presence for the management teamand employees. After conducting corporate activities toinstil ESG compliance within the Company as a specificmanagement indicator, we have to publicly announce
the results and ensure the commitment of eachstakeholder through their management practices.
Possessing great growth potential, Takara Leben is acompany that can look forward to the years ahead.
Under the leadership of its senior management, I
expect that the Company will make progress withmanagement reforms through repeated trial and error
and continue along a growth path. To that end, I would
like all of the Group’s employees to develop their abilities
on a daily basis and empower each other.

Takara Leben Annual Report 202029

Financial Review
Summary of Overall Results
Overview of Business Results for Fiscal Year Ended March
31, 2020
During the fiscal year under review, the Japanese economy
continued to recover moderately amid improved corporate
earnings and a stronger employment and income situation,backed by a range of fiscal measures implemented by thegovernment. However, uncertainty has been growing since thebeginning of 2020, due to sluggish economic activities in Japanand worldwide due to the COVID-19 pandemic.
In the real estate sales market in which the Company operates,
upward trends are seen in demand for convenient locations and daily
life and compact condominiums, reflecting changes in end-user
lifestyle caused by an increase in single-person households and dual
income households and changes in consumer values. Meanwhile,
demand in regional city centers remains strong, thanks in part to thedemand of active seniors, which continues to be high, and the trendof compact city development.

In the Tokyo metropolitan area, the supply-demand balance
continues to be favorable, with the number of condominium units
supplied remaining at the 30,000 level in recent years, as shownby the latest number of condominium units supplied of 31,238
units (a survey made by Real Estate Economic Institute Co., Ltd.),
or a decrease of 15.9% from the previous year. Sales prices,
despite the apparent plateauing of increases in recent years, arestill at high levels.
The number of nationwide condominium units supplied
decreased by approximately 10,000 from that in 2018, to 70,660
units, reflecting the impact of a decline in the number of units soldin the Tokyo metropolitan area. Under these conditions, theCompany ranked eighth in the condominium developer ranking
based on the number of condominium units sold, ranking among
the top 10 for the seventh consecutive year and plays the role of astable supplier in the real estate sales market as an independent
general real estate business developer.

Profit and Loss
In the fiscal year under review, the Company recorded
consolidated net sales of 168,493 million yen, up 27.6% year on
year, consolidated operating income of 11,901 million yen, up
18.5%, consolidated ordinary income of 11,201 million yen, up
24.1%, and net income attributable to owners of parent of 5,361
million yen, down 16.6%.
In performance by business segment, revenues from the realestate sales business amounted to 129,649 million yen, up 23.7%
year on year. This was the result of revenues of 77,171 million yen
from the sales of new built-for-sale condominiums, revenues of37,854 million yen from the sale of profit-generating real estate,
and revenues of 14,623 million yen from the sales of newdetached houses and used condominiums, among others.
Net sales from the real estate rental business amounted to
5,965 million yen, up 2.3% year on year, including rental income
from apartments, condominium units and offices.
Net sales from the real estate management business representing
management fees from 59,747 units under management amounted
to 5,046 million yen, up 11.9% year on year.
Net sales from the electric power generation businessamounted to 20,982 million yen, up 94.4% year on year, including
revenue from sales of power generation facilities that were alreadyoperating and revenues from the sale of electricity generated byother power generation facilities.
Net sales from other business totaled 6,850 million yen, up
13.3% year on year, including revenues from contracts forconstruction works, orders for large-scale repair works, andvarious commission income, among others.
Cost of sales increased 31.3% year on year, to 137,977 million
yen, mainly due to an increase in sales of the real estate sales
business. The gross profit margin fell 2.3 percentage points fromthe previous fiscal year, to 18.1%.
Selling, general and administrative expenses increased 10.5%
year on year, to 18,614 million yen, chiefly owing to higher
advertising expenses associated with an increase in units soldand an increase in personnel associated with business expansion.
As a result, consolidated operating income came to 11,901
million yen, up 18.5% year on year, and the operating income
margin edged down 0.5 of a percentage point year on year, to 7.1%.
Non-operating income increased 86.7% year on year, to 579
million yen, due largely to an increase in dividend income. Nonoperating expenses, on the other hand, decreased 3.7% from theprevious fiscal year, to 1,279 million yen, which is attributable toequity method investment loss of affiliates.
Extraordinary income decreased 8.5% year on year, to 286
million yen, reflecting the recording of sales of investment
securities and penalty income. Extraordinary losses increased
2,099 million yen year on year, to 2,114 million yen, primarily due tothe recording of impairment losses.
As a result, net income attributable to owners of parent was
5,361 million yen, down 16.6% year on year, in the fiscal year
under review.

Dividend Policy
Takara Leben considers that the return of profits toshareholders is one of its most important management issues.
With this in mind, the Company’s basic policy is to undertake

pursue renewed growth, and undertake the payment ofdividends commensurate with its business performance inaccordance with its basic policy. However, given theuncertainty over the degree of impact of the coronavirus, it isdifficult at this time for the Company to properly andreasonably forecast financial results for the next fiscal year.
Therefore, the Company has not made a forecast for thesecond quarter and for the period-end dividend.

Financial Position
Funding Demand and Management of Liquidity
While recognizing that such factors as the market environment
can have a significant impact on the Group’s operating results,
Takara Leben pays particular attention to monitoring its
dependence on borrowings. As far as the core real estate sales
business is concerned, operations are largely predicated on
the level of borrowings. In principle, we target a borrowing
dependency level of less than 60% in order to ensure stablebusiness growth while securing the proper amount ofshareholders’ equity.
Turning to the source of the Takara Leben Group’s capital aswell as its overall funding liquidity, steps are taken to procure a
portion of the finance necessary to fund activities undertakenby the core real estate sales business from financial and otherinstitutions. These activities include the purchase of housing
lots as well as construction. In addition, Takara Leben has

concluded commitment line agreements with its major banks
and other institutions, enabling the Company to procure funds
in a timely manner. While borrowings have increased in recent
years in line with efforts to expand the scope of the Group’sbusiness and engage in investment activities, energies havebeen channeled toward putting in place an investment andreturn cycle while at the same time improving the equity ratio.
Coupled with efforts to build an optimal portfolio, theseendeavors are helping to secure stable funding.
The balance of interest-bearing debt stood at 114.036 million
yen as of the end of the fiscal year under review, comparedwith 111,821 million yen as of March 31, 2019. The ratio ofinterest-bearing debt to total assets and the current ratio as ofthe end of fiscal 2019 were 58.3% and 175.7%, respectively.
Based on the aforementioned, the equity ratio came in at
25.9%.

Cash Flows
Overview of Cash Flow for the Fiscal Year Ended March 31, 2020
Cash and cash equivalents (“funds”) as of March 31, 2020,
amounted to 34,605 million yen, an increase of 13,963 million
yen from March 31, 2019.

Cash Flows from Investing Activities
Net cash used in investing activities was 32,136 million yen(cash used of 34,347 million yen in the previous fiscal year),mainly due to the purchase of property, plant and equipment.

Cash Flows from Operating Activities
Net cash provided by operating activities was 47,708 million
yen (cash provided of 22,428 million yen in the previous fiscal
year). The major component was a decrease in inventories.

Cash Flows from Financing Activities
Net cash used in financing activities was 1,608 million yen(cash provided of 3,427 million yen in the previous fiscal year),which was primarily attributable to a decrease in loans payable.

Future Outlook
Looking ahead to the next fiscal year, it is expected thatmeasures to prevent the spread of the COVID-19 pandemic willcontinue for some time. Given the possibility that the impact of
the COVID-19 pandemic on economic and social activities will
become even more serious, concerns are expected to grow in
conjunction with the economic slowdown occurring not only inJapan but globally as well.
The real estate sales industry in which the Group operates
may see an impact mainly pertaining to sales conducted inmodel rooms in different areas, the acquisition anddevelopment of offices, residences, commercial stores andhotels, among other properties in the liquidation business, andrental revenue from tenants. The Group seeks to diversify riskby promoting sales nationwide instead of focusing on specificareas while at the same time supplying products tailored to realmarket demand, among other products, which are not easily
influenced by economic trends.
In this situation, the Group will work on sales activities while
also continuing to implement measures to prevent the spreadof the coronavirus in strict compliance with requests from thegovernment and prefectural authorities. However, given theuncertainty over the degree of impact on economic and social
activity in Japan, and how long it will take for the coronavirus tobe controlled and business to recover, it is difficult at this time
for the Company to properly and reasonably forecast financial
results for the next fiscal year. Therefore, it will not yet
determine results forecasts and make announcements when it
is ready to make such forecasts.

Net Sales/Operating Income Margin

Net Income/ROE

Dividends Per Share/
Dividend Payout Ratio

Total Assets/Interest-Bearing Debt

Net Assets/Equity Ratio

LL  Net sales (left axis)
P Operating income margin (right axis)(Billions of yen)

(%)

LL  Net income (left axis)
P ROE (right axis)(Billions of yen)

200

20

8

24

LL  Dividends per share (left axis)
P Dividend payout ratio (right axis)(Yen)(%)
40
20.0

LL Total assets
LL Interest-bearing debt
(Billions of yen)
200

LL  Net assets (left axis)
P Equity ratio (right axis)(Billions of yen)
60

(%)
40

LL Capital expenditure
LL Depreciation and amortization(Billions of yen)
40

150

15

6

18

150

45

30

30

100

10

4

12

100

30

20

20

50

5

2

6

50

15

10

10

0

0

0

0

0
2016.3 2017.3 2018.3 2019.3 2020.3

30

the proper, stable, and continuous payment of dividends in linewith operating results while retaining the funds necessary to
expand its business and strengthen its business operations.

As a part of this basic policy, Takara Leben undertakes the
distribution of surplus twice yearly through the payment ofinterim and period-end dividends, and the Group set out thepayout ratio of approximately 25% to 30% in the Medium-Term
Management Plan announced in May 2018.
For the fiscal year under review, the annual dividend has been
set at 19 yen per share. This represents an interim dividend of 6
yen per share and a period-end dividend of 13 yen per share,
which equates to a dividend payout ratio of 38.4%.
Looking ahead, Takara Leben would like to continue topromote stable management as the basis of its operations,Takara Leben Annual Report 2020(%)

0
2016.3 2017.3 2018.3 2019.3 2020.3

20

10.0

0

0.0
2016.3 2017.3 2018.3 2019.3 2020.3

02016.3 2017.3 2018.3 2019.3 2020.3

02016.3 2017.3 2018.3 2019.3 2020.3

Capital Expenditure/
Depreciation and Amortization

2016.3 2017.3 2018.3 2019.3 2020.3

Takara Leben Annual Report 202031

Six-Year Financial Summary

Non-Financial Data
2015.32016.32017.32018.32019.32020.3

Percentage of women in
management (%)

9.43

8.20

9.23

8.10

9.46

8.33

Percentage of persons withdisabilities employed (%)

0.34

0.94

1.20

1.09

2.19

2.06

Millions of yen

2015.32016.32017.32018.32019.32020.3

Net sales¥76,956¥76,268¥103,599¥110,851¥132,005¥168,493

Gross profit

18,311

17,835

21,86925,77926,88630,516

Operating income

9,257

7,563

10,34912,597

10,046

11,901

Ordinary income

8,540

6,708

9,496

11,792

9,027

11,201

Net income attributable to owners of parent

5,718

4,308

6,107

7,367

6,426

5,361

Cash flows from operating activities(8,155)2,428

22,644

9,869

22,42847,708Cash flows from investing activities(7,998)(19,816)(27,540)(34,463)(34,347)(32,136)

Cash flows from financing activities

6,314

19,6636,129

24,012

3,427(1,608)

Capital expenditure

8,095

22,756

20,81430,302

29,902

28,841

717

1,192

2,397

1,943

2,447

2,031

Stock Information
Securities Code

Depreciation and amortization
Total assets

101,738

129,744

139,874

177,588

184,893

195,448

Current assets

67,31975,75386,585102,931

98,512

115,314

Cash and deposits

26,281

28,51529,78029,223

21,16535,311Inventory

35,34540,20849,93368,43868,681

69,964

4,901

4,073

9,658

20,27918,821

23,861

—

—

7,885

4,090

—

—

   Real estate for sale in progress

30,44436,13432,39044,06849,86046,102

Fixed assets

34,40053,94553,237

74,61886,28679,874

Net assets

31,18933,67736,792

42,90747,734

51,139Interest-bearing debt

48,81270,396

79,864

106,663

111,821

114,036   Real estate for sale   Power generation facilities for sale

Per Share Information:
Net income per share (Yen)

50.61

38.99

56.14

68.12

59.33

49.45

Net assets per share (Yen)

279.11304.71

339.29394.90436.68467.05

Dividends per share (Yen)

6.0

13.0

15.0

16.0

16.0

19.0

8897

Stock Exchange Listing First Section, Tokyo Stock Exchange
Shareholder Registry
Administrator

Sumitomo Mitsui Trust Bank, Ltd.
1-4-1, Marunouchi, Chiyoda-ku, Tokyo

Total Number of Shares
Outstanding (As of March 31, 2020)

121,000,000 shares

Trading Unit of Shares

100 shares

Number of Shareholders(As of March 31, 2020)

Major Shareholders (Top 10) (As of March 31, 2020)

Number of Shares Held By Investor Segment (As of March 31, 2020)
Financial instrument trader (Securities companies)

Shares(Thousands)

Percentage
share (%)

Yoshio Murayama

25,633

21.18

Takara Leben Co., Ltd.

12,587

10.40

The Master Trust Bank of Japan, Ltd. (Trust Account)

5,177

4.28

Japan Trustee Services Bank, Ltd. (Trust Account 9)

3,843

3.18

JPMC GOLDMAN SACHS TRUST JASDEC
LENDING ACCOUNT

2,626

2.17

Japan Trustee Services Bank, Ltd. (Trust Account)

2,408

1.99

Murayama Kikaku Co., Ltd.

2,000

1.65

Japan Trustee Services Bank, Ltd. (Trust Account 5)

1,849

1.53

JP MORGAN CHASE BANK 385151

1,380

1.14

Other domestic
corporate investors

SSBTC CLIENT OMNIBUS ACCOUNT

1,337

1.11

3.33%
4,027

Name of shareholder

47,085

1.26%
1,524 Thousand shares
Treasury stock

10.40%
12,587

Individuals and others

48.12%
58,228

Thousand shares

Thousand shares

Non-Japanese
investors

19.41%
23,482Thousand shares

Financial institutions

17.48%
21,148 Thousand shares

Thousand shares

Operating Indices:ROE (%)

19.7

13.3

17.4

18.6

14.3

10.9

ROA (%)

5.8

3.7

4.5

4.6

3.5

2.8

Operating income margin (%)

12.0

9.9

10.0

11.4

7.6

7.1

Debt ratio (Times)

2.3

2.9

2.8

3.1

2.9

2.8

Current ratio (%)

193.4

176.7

171.5

182.0

168.3

175.7

Inventory turnover (Times/Year)

2.2

2.0

2.3

1.9

1.9

2.4

Equity ratio (%)

30.6

25.8

26.2

24.1

25.6

25.9

Dividend payout ratio (%)

11.9

33.3

26.7

23.5

27.0

38.4

Share Price Trends
Share price (Yen)

1,000
1,000
750
750
500
500
250
250
00

Net Sales by Segment (Changes)Trading volume (Thousand shares)

50,00050,000Millions of yen

32

2015.32016.32017.32018.32019.32020.3

Real estate sales business

66,907

63,383

79,63879,341

104,823

129,649

Real estate rental business

2,898

4,307

5,056

5,472

5,829

5,965

Real estate management business

2,978

3,362

3,665

4,000

4,512

5,046

Electric power generation business

405

909

11,10818,23910,794

20,982Other businesses

3,766

4,305

4,130

3,797

6,045

6,850

Total sales

76,95676,268103,599

110,851

132,005

168,493

Takara Leben Annual Report 2020

40,00040,00030,00030,00020,00020,00010,00010,00044 55 66 77 88 99 10
10 11
11 12
12 11 22 33 44 55 66 77 88 99 10
10 11
11 12
12 11 22 33 44 55 66 77 88 99 10
10 11
11 12
12 11 22 33 44 55 66 77 88 99 10
10 11
11 12
12 11 22 33 44 55 66 77 88 99 10
10 11
11 12
12 11 22 33
2015年
2015

2016年
2016

2017年
2017

2018年
2018

2019年
2019

00

2020年
2020

Takara Leben Annual Report 202033

Takara Leben Co., Ltd.
TEKKO BUILDING 16F, 1-8-2 Marunouchi,
Chiyoda-ku, Tokyo, Japan 100-0005
Office of the President
TEL.: +81-3-6551-2130

FAX: +81-3-6551-2139

https://www.leben.co.jp/en/

Printed in Japan