Mitsui Fudosan Logistics Park to Develop Six New Properties in Japan
Cumulative Total Investment to Reach ¥1 Trillion in FY2023
Newly Established Innovation Department Contributes to Solving Issues in the Logistics Industry Through the Use of DX

April 18, 2023
Mitsui Fudosan Co., Ltd.

Key Points of This Press Release

• Decision to develop 6 new properties in Japan, business expansion to 62 properties under development in Japan and overseas, for a total floor area of approx. 5.3 million m², and cumulative total investment of approx. ¥850 billion, which is projected to reach ¥1 trillion in FY2023.
• Establishment of the Innovation Department and today’s launch of the logistics consulting platform MFLP& LOGI Solution to provide comprehensive support for customers by proposing optimal solutions and developing logistics strategies to address the challenges they face.
• Establishment of a logistics center specializing in e-commerce that automates the majority of warehouse operations and proposal for joint use of the center to e-commerce operators in the future.
• Becoming the first*1 logistics facilities operator to achieve 100% green energy in common areas of all facilities and obtain 100% external certification in FY2023.
  *1 Based on Company research

Tokyo, Japan, April 18, 2023 - Mitsui Fudosan Co., Ltd., a leading global real estate company headquartered in Tokyo, hereby announces the new development properties in its logistics business and the formulation of its business plan for the future.

As the e-commerce market expands, long working hours and severe labor shortages are becoming an issue in the logistics industry. Limits on overtime work for truck drivers will be applied in 2024, which means that immediate action must be taken to build efficient operations with limited human resources and work to reduce the burden on employees.

In response to these changes in the social environment, Mitsui Fudosan will contribute to the realization of a sustainable society by developing and operating advanced logistics facilities that meet diverse needs, and by promoting sustainability initiatives.

In addition to promoting digital transformation (DX) measures that utilize cutting-edge technology and measures to improve employee satisfaction (ES), Mitsui Fudosan has opened a logistics center specializing in e-commerce by utilizing its expertise in providing omni-channel services at its own retail facilities and e-commerce sites in its business. Mitsui Fudosan will further promote initiatives to solve issues in the logistics industry, including labor shortages, by leveraging its track record of developing and operating numerous logistics facilities to meet the needs of the industry and its network of partner companies and shipping companies.

Measures that contribute to solving the 2024 problem and other issues

1. Newly established Innovation Department contributes to solving issues in the logistics industry, such as labor shortages, through the use of DX

Mitsui Fudosan has been promoting innovation in the logistics business by utilizing DX and has been engaged in various initiatives, such as opening MFLP ICT LABO, a showroom for experiencing the latest logistics DX equipment, and establishing MF Logisolutions, a comprehensive logistics consulting company. This time it has newly established the Innovation Department as a department specializing in labor-saving and mechanization needs through DX, and will focus even more on supporting customers in solving their issues and developing logistics strategies.

「MFLP ICT LABO2.0」

(1) Launch of new service MFLP &LOGI Solution

Today, April 18, Mitsui Fudosan will be launching its logistics consulting platform, MFLP &LOGI Solution. This service first identifies the issues that customers face and then proposes optimal solutions by collaborating with approximately 50 support companies and linking each company’s cutting-edge technologies.

* MFLP &LOGI Solution website (Japanese)https://mflp.mitsuifudosan.co.jp/andlogi/

(2) Establishment of a logistics center specializing in e-commerce that automates the majority of warehouse operations

In November 2022, a logistics center specializing in e-commerce and equipped with automated equipment was opened in MFLP Funabashi III as a logistics base for &mall, the official shopping site of Mitsui Shopping Park, and Mitsui Fudosan has begun in-house use of the center.

Mitsui Fudosan plans to propose the joint use of this center to other e-commerce businesses in the future, and through this initiative, it will evolve MFLP into a warehouse leasing asset with higher added value.

(3) Development of R&D zone for lease in anticipation of future drone delivery

In order to advance the practical application of drones in logistics, MFLP/LOGIFRONT Tokyo Itabashi will develop a large drone flight field and a section of warehouse space as an R&D zone available for lease to drone operators and other businesses to provide a place for demonstration tests, such as last mile delivery by drone and transportation of relief supplies in times of disaster.

MFLP/LOGIFRONT Tokyo Itabashi R&D zone for lease

2. Sustainability initiatives

(1) Create an environment that promotes employee satisfaction and D&I

To create an environment where diverse people can work together, Mitsui Fudosan has installed childcare facilities, prayer rooms, multilingual signs, genderless restrooms, and other facilities. In addition, by further enhancing common areas such as shops and cafeteria spaces, lounges, and deck terraces, and by providing portal sites for employees, it will increase convenience and provide more comfortable environments for all employees, thereby contributing to higher employee job satisfaction, better working environments, and job security.

Childcare facilities

Prayer rooms

Multilingual signs

(2) Install solar power generators to the greatest extent possible for further use of natural energy

Mitsui Fudosan strives to install solar power generators on the rooftops of new facilities to the greatest extent possible. Solar panels are also being actively installed on the rooftops of existing facilities as well. In addition, further use of natural energy using storage battery systems is also under consideration.

(3) Use 100% green energy*2 in common areas of all facilities

Mitsui Fudosan plans to use 100% green energy*2 in common areas of all facilities of Mitsui Fudosan and Mitsui Fudosan Logistics Park Inc. during FY2023. In addition, in tenanted areas, Mitsui Fudosan will promote the use of green power to tenant companies and provide non-fossil certificates at their request.

*2 The term “greening” refers to the switching of electricity used to substantially renewable energy sources by using private solar power generators, non-fossil certificates and other means

(4) Acquire 100% external certification of all new and existing properties

Mitsui Fudosan intends to achieve a 100% rate of external certification for all properties, both new and existing, by acquiring DBJ Green Building Certification, which evaluates the sustainability of real estate from the following 5 perspectives based on ESG: Environmental performance of buildings, comfort of tenant users, responsiveness to crises, consideration for diversity and living environments, and cooperation with stakeholders; ZEB Certifications, which are evaluated based on BELS (Building-Housing Energy-efficiency Labeling System); or arc certification issued by Arc Japan Inc. for building performance in the individual categories of energy, water, waste, transportation, and comfort.

(5) Realize logistics facilities rooted in the community

Mitsui Fudosan redefines logistics facilities as places that handle “logistics plus something extra,” such as supplying infrastructure for disaster preparedness and medical care, education of the next generation who will be responsible for the future, and realization of better work styles, and it is implementing various initiatives to contribute to improving the sustainability of local communities. In the event of a disaster, logistics facilities will be used as storage and delivery bases for relief supplies, and events will be held for local residents to participate. In cooperation with the local community, Mitsui Fudosan will realize logistics facilities as places that enrich cities beyond mere distribution hubs.

Announcement of the signing of the Four-Party Basic Agreement on the Development of Disaster Preparedness Facilities in the Event of a Disaster, etc. (MFLP/LOGIFRONT Tokyo Itabashi)

Neighborhood creation-type event (MFLP Funabashi)

3．Six new properties to be developed in Japan

With the decision to develop 6 new properties in Japan, Mitsui Fudosan’s logistics business has a total of 62 properties, for an overall total floor area of approx. 5.3 million m², with 43 properties completed and in operation in Japan and 1 property completed and in operation overseas, occupying a total floor area of approx. 3.7 million m², and 15 properties under development in Japan and 3 properties under development overseas. Since the start of the logistics business in April 2012, total cumulative investment is at approx. ¥850 billion and is projected to reach ¥1 trillion in FY2023.

Perspective drawing of the exterior of MFLP Iruma I

Perspective drawing of the exterior of MFLP Tsukubamirai

Logistics Business History

FY	Major developments and activities
2012	Formed the Logistics Properties Department Entered the logistics business (GLP/MFLP ICHIKAWA-SHIOHAMA) GLP/MFLP ICHIKAWA-SHIOHAMA (Completed in January 2014)
2014	Mitsui Fudosan’s first property developed independently (MFLP YASHIO) Developed Mitsui Fudosan’s first multi-tenant warehouse as its first development property in the Kansai region (MFLP SAKAI)
2015	Became independent as the Logistics Properties Business Division
2016	Held the MFLP THANKS PARTY as a means of deepening friendship with tenant companies Listed Mitsui Fudosan Logistics Park Inc. * Amount of assets as of March 2022: Approx. ¥340 billion
2017	Opened MFLP ICT LABO in MFLP Funabashi I, in response to heightened labor-saving and automation needs
2018	Established MF Logisolutions Co., Ltd., a comprehensive logistics consulting company, to further strengthen marketing of logistics solutions, including automation and labor savings
2019	Completed a mixed-use complex including office space, training facility and industrial support facility (MFIP Haneda)
2020	Opened MFLP ICT LABO 2.0, a showroom that exhibits a “Full Automation Logistics Model” (February 2020)
2021	Completed MFLP Funabashi, a neighborhood creation-type logistics facility project, with a total floor area of approx. 700,000 m2
2022	Eco-friendly green energy warehouse with the highest rank ZEB certification Completed MFLP Ebina I (September 2022) Established logistics center specializing in e-commerce in MFLP Funabashi III
2023	New organization with a mission to solve logistics issues in terms of both tangible and intangible aspects Established Innovation Department

Mitsui Fudosan Logistics Business Statement

“Connecting Values Together with Customers and Creating New Values Together with Customers”

As a partner in developing solutions for our tenants, we connect a wide variety of people, goods and ideas, tackling the challenge of creating value beyond conventional boundaries.
We contribute to making life and society more fulfilling for everyone.

Mitsui Fudosan Group’s Initiatives for SDGs　

https://www.mitsuifudosan.co.jp/english/esg_csr/
The Mitsui Fudosan Group aims for a society that enriches both people and the planet under the principles of coexist in harmony with society, link diverse values and achieve a sustainable society, and advances business with an awareness of the environment (E), society (S) and governance (G), thus promoting ESG management. By further accelerating its ESG management, the Group will realize Society 5.0, which the Japanese government has been advocating, and contribute significantly to achieving the SDGs. Additionally, the Group formulated the following Group guidelines related to “Realize a Decarbonized Society” and “Diversity & Inclusion Promotion” in November 2021. The Mitsui Fudosan Group will continue to work toward solving social issues through neighborhood creation.

[ References ]
・Group Action Plan to Realize a Decarbonized Society
https://www.mitsuifudosan.co.jp/english/corporate/news/2021/1124/
・Diversity & Inclusion Promotion Declaration and Initiative Policy
https://www.mitsuifudosan.co.jp/english/corporate/news/2021/1129_02/

* The initiatives covered in this press release are contributing to four of the UN’s SDGs.

Attachment

Overview of the new development facilities(PDF:952KB)

Map of Mitsui Fudosan’s logistics facilities in Japan and overseas (as of April 18, 2023)(PDF:320KB)