GOOD SOIL FUND: A Leap Towards Sustainable Local Economic Growth

Peace Real Estate Corporation, based in Chuo-ku, Tokyo, has made a significant move by investing in the GOOD SOIL Investment Limited Partnership, an initiative aimed at fostering long-term circulation and sustainability in local economies. This endeavor aligns with the company's long-term vision articulated in its 'WAY 2040' strategy, which emphasizes nationwide expansion of captivating environments that draw people together. As part of this vision, the current mid-term management plan, 'WAY 2040 Stage 1,' aims for 'discontinuous growth' by entering new business domains.

Funding Background and Objectives

The company has a proven track record of revitalizing areas through the introduction of appealing hotels and venues while respecting the unique history and culture of districts in Japan. A prime example of this commitment is the K5 Hotel, a landmark that transformed Nihonbashi Kabutocho. This project was made possible through collaboration with Staple, a company that is part of the GOOD SOIL group. Staple is noted for its continuous and holistic development projects that invigorate various regions, focusing on a network of attractive hotels, restaurants, and workspaces.

With a strong history of collaboration with Staple, Peace Real Estate Corporation is optimistic about exploring new possibilities through this investment in the GOOD SOIL Fund. The aim is to contribute to hotel development projects that elevate local values and create vibrant spaces. This initiative is a vital part of the company's vision to evolve into a 'Bazukuri Company' that achieves discontinuous growth through continuous place-making.

This project emerged from an innovative idea proposed by employees under the Peace Real Estate Challenge Program (HCP), a scheme designed to encourage new business proposals.

Understanding GOOD SOIL FUND

GOOD SOIL Fund is an initiative founded by GOOD SOIL Inc. in partnership with Sumitomo Mitsui Trust Bank. This development-focused fund aims for sustainable growth in local areas through investments structured around the principle of generating financial circulation in local economies while nurturing cultural and natural capital to connect a rich heritage to the future.

The fund invests in hotel developments that enhance local vitality even amid declining populations, ensuring these operations are rooted in the community. The plan includes transitioning stable properties to a long-term holding fund utilizing security tokens, thereby returning quality real estate to the community.

Fund Overview

- Name: GOOD SOIL Investment Limited Partnership
- General Partner: GOOD SOIL Inc.
- Investment Policy: Projects centered in compact areas, designed and operated by Staple, a GOOD SOIL group company.
- Investment Format: Contributions through anonymous associations aimed at specific purpose companies (SPCs).

Collaborative Insights

The collaboration that led to the K5 Hotel's opening in 2020 marked a notable moment for Nihonbashi Kabutocho, a space that is undergoing a remarkable transformation. Yudai Oka, President of GOOD SOIL Inc., shared his excitement about collaborating with Peace Real Estate, stating how they have watched the area grow and evolve. The synergy between Peace Real Estate's approach to cultivating entire districts and Staple's vision of nurturing local areas resonates profoundly with GOOD SOIL's ethos.

From the perspective of Peace Real Estate's President, Kiyoshi Tsuchimoto, the partnership with Staple represents a new opportunity to further jointly contribute to environmental improvements in their urban vicinity.

Emphasizing Corporate Initiatives

Apart from these ambitious projects, the Peace Real Estate Challenge Program (HCP) is designed to promote innovative ideas from employees, encouraging them to propose new business ventures that fall outside the company's traditional realms. This initiative seeks to create new social and business value while enhancing the entrepreneurial mindset among staff.

Company Overview

Founded in 1947, Peace Real Estate Corporation plays a central role in Japan's financial markets, owning key properties in major cities such as Tokyo, Osaka, Nagoya, and Fukuoka. The underlying value of their work is to build vibrant places that attract people and enrich the future. The company is dedicated to creating engaging environments across its various projects.

Company Name: Peace Real Estate Corporation
Established: July 1947
CEO: Kiyoshi Tsuchimoto
Headquarters: 1-10 Kabutocho, Nihonbashi, Chuo-ku, Tokyo
Website: Peace Real Estate