#Japan #Tokyo #Mitsubishi Estate #ProShip #ProPlus

Mitsubishi Estate Adopts ProPlus for Lease Accounting Compliance

In a significant move to align with the new lease accounting standards, Mitsubishi Estate Co. has opted for ProShip's ProPlus Lease Asset Management System. This decision comes as part of the company's proactive approach to adapt to the complexities introduced by the new regulations, which will be applicable from April 1, 2027. ProShip, a leading provider of asset management solutions, aims to support Mitsubishi Estate in navigating these changes effectively.

Background and Challenges

The real estate industry is undergoing transformative shifts due to the impending new lease accounting standards, which necessitate a meticulous and highly specialized approach to compliance. Mitsubishi Estate has diligently considered its strategies to ensure a seamless transition without disrupting existing operations. The key challenges identified included:

• - Streamlining Collection of Lease Information: Establishing efficient methods for gathering and digitizing lease contract information.
• - Automating Lease Accounting Processes: Refining and automating the accounting treatment related to lessee leases.
• - Leveraging Proven Know-How: Utilizing insights gained from similar projects and packaged products relevant to master leases.

To tackle these complexities, careful selection of a suitable system was essential to ensure sustainable operations post-implementation of the new framework.

Reasons for Selection

After evaluating multiple solutions, Mitsubishi Estate selected the ProPlus system for several compelling reasons:

• - Established Expertise and Proven Track Record: ProPlus boasts over 5,500 implementations, predominantly within major corporations, and has developed notable expertise from early adoption of IFRS 16 (leases).
• - Robust System Compatibility: The ProPlus framework ensures minimal disruption to existing activities while enhancing system maintainability, facilitating compliance with the new lease standards efficiently.
• - Long-term Operational Efficiency: Beyond compliance, the system promises to bolster the overall efficiency and sophistication of asset management operations in the longer term.

Future Outlook

Mitsubishi Estate envisions that the implementation of ProPlus will lead to the establishment of resilient operational processes compliant with the new lease standards. The company is dedicated to leveraging the stable operation of ProPlus to further enhance its management control systems. Additionally, Mitsubishi Estate is actively engaged in sharing its experiences as a leading example within the ProShip user community, ultimately providing valuable insights to other organizations.

ProShip aims to continually support Mitsubishi Estate’s journey towards sustainable corporate and social value enhancement through reliable assistance in responding to regulatory changes.

ProShip Future Support Project

In a bid to further assist large corporations in preparing for the new lease accounting standards, ProShip has initiated the "ProShip Future Support Project". Launched in November 2025, this project intertwines business activities aimed at compliance with corporate social responsibility (CSR). For every new adoption by target companies with revenues exceeding 100 billion yen, ProShip will donate 10,000 yen to the Japanese Red Cross. This endeavor demonstrates ProShip's commitment to not only business growth but also societal contributions.

As of June 2026, the project has seen participation from 332 companies, resulting in a projected donation of 3,320,000 yen to the Japanese Red Cross.

Comprehensive Support and Training

ProShip provides an extensive array of services and consulting support to ensure a smooth transition to the new lease accounting standards. This includes free seminars focusing on practical strategies and support tailored to the specific challenges faced by finance and accounting professionals. The seminars cover essential topics such as lease identification and significance standards, fostering discussions that aid companies in solidifying their internal policies and addressing unique challenges effectively.

With its extensive experience and commitment to quality support, ProShip stands out as a reliable partner for organizations seeking to adapt to the evolving landscape of lease accounting. Moreover, ProShip's innovative solutions are designed to meet the intricate requirements of lease accounting while ensuring future growth and societal contributions remain aligned.

Mitsubishi Estate’s strategic choice signals a robust step towards compliance, efficiency, and contributions to social welfare through its collaboration with ProShip.