#Japan #Tokyo #RealGate #Urban Revitalization #100-Year Project

Realgate Initiates the '100-Year City and Architecture Project'

Realgate, a company based in Shibuya, Tokyo, has announced the commencement of the '100-Year City and Architecture Project' aimed at sustainable urban development. Known for its extensive experience in the planning and management of over 100 creative offices in central urban districts, Realgate seeks to reduce environmental impact while ensuring economic viability by maintaining existing buildings for 100 years.

The project will begin with three properties owned by Realgate in Shibuya and Minato wards, establishing a new model for the regeneration of older buildings.

Overview of the '100-Year City and Architecture Project'

This initiative represents a pivotal shift in Japanese urban development, moving away from a one-sided focus on new construction towards the long-term utilization of existing assets. Currently in Tokyo's urban center, many buildings that meet new seismic standards are often demolished before they reach their legal lifespan of 50 years, leading to significant challenges such as skyrocketing construction costs and increased CO2 emissions.

In contrast, during a training visit to Sydney last year, Realgate observed that buildings over 100 years old were being reimagined as hotels and retail spaces, resulting in vibrant and attractive neighborhoods. This model exemplifies the successful integration of environmental sustainability with economic practicality.

As the project unfolds, Realgate will utilize its three properties as pioneering examples, employing unique seismic reinforcement techniques and planning capabilities to transform these aging structures into '100-Year Buildings' that match the safety and profitability of new constructions. Additionally, through collaborations with major developers and the establishment of real estate funds, the project aims to tackle larger-scale initiatives and ultimately influence regulatory standards related to building codes and tax policies. By establishing a culture where buildings are valued and maintained for a century, Realgate aspires to redefine the concept of sustainable urban living.

Background of the Project: Stagnation in Redevelopment and Environmental Challenges

The motivation behind this project comes from two critical issues facing urban development in Japan:

1. Escalating Construction Costs and Stalled Redevelopment: Rising material costs, severe labor shortages, and increased transportation expenses have inflated the construction costs for new buildings. The impact has been substantial, causing even previously secure large-scale projects, like those in central Tokyo, to be postponed or canceled due to declining profitability.

2. Increased Environmental Burden from Short-Lived Buildings: While concrete structures theoretically last around 100 years, Realgate's research highlights a troubling reality, with around 55% of commercial buildings in Tokyo being demolished before reaching their legal lifespan of 50 years. This premature destruction wastes resources and energy, contributing significantly to global warming. Compared to new constructions, revitalizing existing structures can potentially reduce CO2 emissions during the construction phase by approximately 79%, based on Realgate's assessments.

Realgate aims to simultaneously address these dual challenges of economic rationality and environmental impact through the revitalization and utilization of existing buildings.

Overcoming Key Challenges for 100-Year Building Utilization

To successfully maintain existing buildings for 100 years, Realgate recognizes the need to overcome industry-wide challenges:

• - Balancing Safety and Value Addition: One of the most intricate aspects of revitalizing older buildings is ensuring both safety and added value. Achieving high-level seismic reinforcement and durability requires advanced technical skills and experience. Furthermore, devising profitable plans that cater to modern needs is not a straightforward task. Realgate will leverage its expertise to tackle these challenges.

• - Rigid Evaluation Criteria from Financial Institutions and Major Developers: The Japanese real estate market often adheres to rigid standards that devalue properties after 50 years, making obtaining financing difficult. Such a 'newer is better' mindset poses a significant barrier to maximizing the potential of viable older buildings. The project aims to change these entrenched perceptions in the financial sector and among major industry players.

Pioneering a New Movement in Urban Regeneration

Realgate is committed to addressing these immediate challenges methodically while creating a positive impact on society. As the first step of the project, the company will revitalize its three properties into symbolic models of '100-Year Architecture'. This initial success is intended to catalyze larger-scale regeneration efforts through partnerships with major developers and real estate investments, thus shifting the urban development focus from new construction to regeneration.

However, Realgate's vision extends beyond mere building renewal. The goal is to reshape societal structures such as building codes and tax regulations to favor the utilization of existing buildings, ultimately passing down vibrant neighborhoods to future generations. Through the '100-Year City and Architecture Project', Realgate aims to instigate a transformative movement that challenges conventional norms in Japanese urban planning.

Overview of Realgate's Three Target Properties

• - OMB Higashi Azabu (Minato Ward): 62 years old, 1 basement level and 5 stories, total floor area of 715.62㎡.
• - (Tentative name) Shiba 5-Chome Regeneration Project (Minato Ward): 62 years old, 1 basement level and 5 stories, total floor area of 1,058.99㎡.
• - Sendagaya 1-Chome Regeneration Project (Shibuya Ward): 56 years old, 6 stories, total floor area of 1,505.83㎡.

In conclusion, Realgate's '100-Year City and Architecture Project' is poised to reinvent urban landscapes while addressing pressing environmental and economic challenges, setting a precedent for sustainable development in Japan.

About Realgate, Inc.

• - Company Name: Realgate, Inc.
• - Location: 3-51-10 Sendagaya, Shibuya, Tokyo
• - Established: August 24, 2009
• - CEO: Yu Iwamoto
• - Business Description: Reviving aging urban buildings into offices, restaurants, and hotels for start-ups. Utilizing advanced technology and management expertise, we strive to maximize real estate value while promoting sustainable urban development.
• - Official Website: Realgate
• - Media Office Search Site: Order Made Tokyo

For Inquiries

Realgate Public Relations
Tel: 03-6804-3944 / Email: [email protected]