#United States #Ontario #Odakyu #GL Capital

Odakyu Electric Railway's New Venture in California

Odakyu Electric Railway Co., Ltd., headquartered in Shinjuku, Tokyo, has announced its participation in the shared investment of rental housing in the United States. Through its wholly owned subsidiary, Odakyu USA Inc., the company has acquired a stake in the Ontario Town Square Townhomes located in Ontario, California, with an operational start date set for April 1, 2026.

This property is part of a portfolio held by local real estate company GL Capital Partners, which has invested through its fund. Odakyu acquired a share of this fund, embracing a value-add strategy aimed at enhancing the property's value through renovations of shared spaces during the holding period followed by a planned sale.

Ontario, California, is experiencing remarkable growth in both employment and population. However, the supply of new rental housing is limited, indicating a stable future demand for rental properties. Notably, the site is conveniently located in the city center, allowing easy access to major freeways. It is approximately a 40-minute drive to downtown Los Angeles and about 30 minutes to various cities in the Riverside-San Bernardino metropolitan area. This area has a blend of commercial and essential life facilities while maintaining a tranquil residential environment.

The Ontario Town Square Townhomes, built in 2009, is a three-story structure comprising 140 rental units primarily designed for families. Compared to competing properties in the area, the apartments boast larger sizes, providing a more spacious living environment, a significant draw for potential renters.

Odakyu's investment aligns with their management vision, "UPDATE Odakyu: A Company Driving Regional Value Creation," which underscores the importance of sustainability for the environment and society. The company strives to create value in regions along its railway lines and other areas where it operates. Additionally, as part of its real estate business expansion, Odakyu aims to collaborate with both Japanese and local partners in the United States and Australia, eyeing rapid growth opportunities, particularly as the U.S. economy shows promise.

Since establishing its local subsidiary in February 2020, Odakyu has engaged in rental housing development projects in Shoreline City (Seattle metropolitan area) and Montclair City (Los Angeles metropolitan area). The company is fostering relationships with U.S. real estate professionals through fund investments and is keen on increasing its participation in the local market to boost revenue streams.

Property Overview

• - Name: Ontario Town Square Townhomes
• - Location: 380 East Bluebird privado, Ontario, California 91764
• - Site Area: 21,933 square meters
• - Total Building Area: 29,590 square meters (approximately 138.79 square meters/unit)
• - Number of Units: 140 units
• - Floor Count: 3 floors

Exterior and Interior

GL Capital Partners Overview

• - Location: Pleasanton, California
• - Established: 2008
• - Business Overview: Investment, management, and operational delegation for rental properties primarily along the West Coast of the U.S.

Odakyu USA Inc. Overview

• - Location: Honolulu, Hawaii (registered address)
• - Established: 2020
• - Business Overview: Real estate business in the United States (rental, sales, and development).

This strategic investment demonstrates Odakyu's commitment to diversifying its portfolio and tapping into global real estate markets, reinforcing its position in the dynamic rental housing sector in the U.S.