#Sumitomo Forestry #Tokyo Tatemono #Fairfield Residential

New Development in Raleigh, NC

Sumitomo Forestry Co., Ltd. and Tokyo Tatemono Co., Ltd. have announced their plans for a five-story wooden rental housing complex in Raleigh, North Carolina. This undertaking will include a total of 267 rental units and marks their third collaboration following successful developments in Washington D.C. and Colorado.

The project will be executed in partnership with the prominent U.S. development firm, Fairfield Residential Holdings LLC, headquartered in San Diego, California. By focusing on wooden construction methods, the developers aim to contribute to a carbon-neutral society. The construction is set to begin in June 2025, with rental availability planned for January 2027.

Property Features

The new complex is designed to foster a sense of community among its residents. Key amenities include parking directly accessible from the building, an outdoor grilling area, and a clubhouse with kitchen facilities. For those working from home, a co-working lounge equipped with meeting rooms will be available. Pet owners will appreciate the included pet spa and dog run.

One of the standout features will be the sky lounge on the top floor, offering panoramic views of downtown Raleigh. The property’s landscaped area, combined with its wooden construction, will provide a serene living environment amidst the urban setting. The design primarily targets young professionals, especially those employed in the nearby Research Triangle region, featuring a mix of studio and one-bedroom units.

Advantages of Wooden Construction

The construction will utilize a wooden frame method incorporating 2x4 lumber standards, which allows for cost-effective building practices when compared to reinforced concrete (RC) structures. Wooden construction typically results in significantly lower CO2 emissions during the construction process (known as embodied carbon) compared to steel or concrete buildings. Moreover, wood materials naturally sequester carbon, making this project align well with sustainability goals.

Location Benefits

Situated in the heart of Raleigh, the capital city of North Carolina, the new development boasts excellent transportation access via Interstate 85, which connects Washington D.C. to Atlanta, Georgia. Raleigh is part of the Research Triangle, alongside renowned educational institutions such as North Carolina State University, Duke University, and the University of North Carolina at Chapel Hill. With over 300 companies in the vicinity, the area supports a robust business environment, providing ample opportunities to attract competitive talent and sustainable economic growth.

Background & Collaboration

The development will be managed by a Special Purpose Company (SPC) established through a joint investment from Sumitomo Forestry's wholly-owned subsidiary, SFA MF Holdings, and Tokyo Tatemono's wholly-owned subsidiary, Tokyo Tatemono US Ltd. Sumitomo Forestry’s subsidiary, Sumitomo Forestry Asset Management, will facilitate coordination with the project partners, which include Fairfield Residential. This new venture marks the fifth project for Sumitomo Forestry in collaboration with Fairfield and the third for Tokyo Tatemono.

Since entering the real estate development sector in 2018, Sumitomo Forestry is projected to initiate construction on 5,344 rental units by 2024, making it one of the top residential developers in the U.S. By 2027, the focus will be on delivering over 10,000 rental units, further solidifying their commitment to expanding housing options across the region.

Strategic Goals

Sumitomo Forestry is committed to advancing its global operations centered around forest management, the production and distribution of timber and wood products, along with real estate development. The company aims to enhance carbon sequestration by promoting wooden construction under its long-term vision,