#Japan #Okayama #NBI Holdings #Chugoku Bank #Furusato Partners

Chugoku Bank's Innovative Step into REITs

In a groundbreaking move, Chugoku Bank, based in Okayama, has become the first regional bank in Japan to gain a stake in Furusato Partners, an asset management company established for the purpose of forming Real Estate Investment Trusts (REITs). This collaboration signals a new direction for local banks in participating in the evolving landscape of asset management and real estate investment.

Background of the Partnership

The partnership was officially announced by Chugoku Bank's president, Sadakazu Kato. The bank has partnered with NBI Holdings, PROSPER, and Showa Lease, all based in Tokyo, to contribute to the establishment of Furusato Partners. NBI Holdings has expressed its commitment to revitalizing local economies through investments in hotels and traditional inns, aligning with Chugoku Bank's philosophy.

Chugoku Bank aims to boost regional attractiveness by focusing on investments that support the restoration and revitalization of local properties, particularly within its operational areas. This initiative is designed to promote local tourism by circulating capital within the community, thereby contributing to sustainable regional economic development.

Details of the Capital Contribution

The capital increase includes:
1. Share Transferors: NBI Holdings and PROSPER
2. Share Recipient: Chugoku Bank
3. Shares Involved: 2.5% of issued shares
4. Contract Signing Date: April 30, 2026
5. Transfer Execution Date: Planned for May 29, 2026

Further details regarding this collaboration and expectations for the future will be disclosed during a press conference scheduled for May 29, 2026, at 1:30 PM.

Overview of the Shareholding Companies

NBI Holdings Overview

• - Company Name: NBI Holdings, Inc.
• - Location: 5th Floor, Hibiya Central Building, 1-2-9 Nishishinbashi, Minato-ku, Tokyo
• - CEO: Takayuki Kanaya
• - Capital: 500 million yen
• - Business Activities: Real estate investment business, financial services, regional revitalization projects.
• - Licenses/Registrations: Registered with the Kanto Local Finance Bureau (No. 3494) for investment management operations and other real estate licenses.

PROSPER Overview

• - Company Name: PROSPER, Inc.
• - Location: 5-9-1 Toranomon, Minato-ku, Tokyo
• - CEO: Yozo Tachibana
• - Capital: 20 million yen
• - Business Activities: Management of private equity funds, initiatives related to regional revitalization.
• - Licenses/Registrations: Reporting for special operations related to qualified institutional investors.

Showa Lease Overview

• - Company Name: Showa Lease Co., Ltd.
• - Location: 2-4-3 Nihonbashi Muromachi, Chuo-ku, Tokyo
• - CEO: Nobusuke Taizan
• - Capital: 29.36 billion yen
• - Business Activities: Comprehensive leasing operations and various types of financing services.

Implication for Regional Economies

This strategic move not only positions Chugoku Bank as a trailblazer among regional banks but also highlights its commitment to fostering local economic growth through innovative financial solutions and community-centric investments. By leveraging the expertise of NBI Holdings, known for its specialization in real estate investment, Chugoku Bank aims to enhance the vitality of its operational regions. The collaboration with Furusato Partners is set to unlock potential in local tourism and real estate, thereby improving the overall economic landscape of Okayama and beyond.

In conclusion, this initiative reflects a significant shift in how local banks approach real estate investment—and could very well pave the way for similar moves by other banks seeking to empower their communities through investment and partnership in the growing REIT market.