Sekisui Chemical Acquires Full Shares of Benhouse to Expand Real Estate Operations

Expansion of Real Estate Operations by Sekisui Chemical

On May 23, 2023, Sekisui Chemical Co., Ltd. announced the acquisition of all shares of Benhouse Co., Ltd., a comprehensive real estate company located in Yokohama, specializing in real estate sales in the Tokyo metropolitan area. This strategic move is aligned with Sekisui's mid-term management plan, "Drive2.0 - The 2nd phase for 2030," focusing on growth areas such as residential and renovation businesses.

Background of the Acquisition

Japan is currently experiencing a declining population; however, metropolitan areas, especially Tokyo, are still witnessing a population influx. This situation has led to a high demand for stable housing supply. While Sekisui's steel-frame unit housing holds a significant market share nationwide, its presence in the Tokyo area is not as strong due to challenges related to limited land supply for construction.

Families that previously preferred suburban custom-built homes are increasingly opting for high-convenience apartments and built-for-sale homes in urban settings. This shift in consumer preference has motivated Sekisui to seek a dependable partner for stable housing and land supply in the Tokyo area. Benhouse, with its extensive experience in land procurement, development, and sales in regions such as Yokohama, Kawasaki, and the Shonan area, presents an ideal collaboration opportunity. The company’s expertise in building methods suitable for narrow lots and asset management aligns well with Sekisui’s goals, leading to this acquisition.

Objectives of the Acquisition

By partnering with Benhouse, Sekisui aims to achieve three main objectives:
1. Sales Efficiency: The integration of Benhouse's wood-frame construction techniques with Sekisui's unit construction methods tailored to land characteristics and related regulations will create an efficient sales network.
2. Construction Capability: Sharing construction capabilities between both companies will help respond to labor shortages and stabilize construction timelines.
3. Rental Management Expansion: Utilizing Benhouse's knowledge, Sekisui will expand its rental management services, which will encompass not only its construction projects but also general buildings.

Sekisui values the skilled personnel at Benhouse, whose extensive experience will be vital in strengthening the collaboration between the two companies. The emphasis will be on fostering effective communication and collaboration with partner companies as they collectively pursue growth in the real estate sector.

Future Plans

The acquisition is expected to finalize between July and August 2025. Sekisui is committed to sustainable development, aiming to create a society where people can live with peace of mind for the long term. This acquisition represents a significant step towards addressing social challenges while achieving business growth.