In addition to complying with all applicable laws and regulations regarding environmental pollution and taking appropriate measures, the Tosei Group Environmental Policy stipulates that the Group will strive to prevent environmental pollution, promote resource conservation such as reducing, reusing and recycling, and promote efforts to reduce environmental impact and create a circular economy.

When considering the acquisition of land or buildings, a "Real Estate Purchase Check Sheet" is completed and reviewed for all projects as part of the property purchase due diligence flow. We conduct a geo-historical survey of the property to be acquired and, if necessary, a soil contamination survey. In addition, depending on the age and structure of the property, we conduct asbestos inspections and other hazardous material inspections to ensure risk management against contamination.

As part of the property purchase due diligence, further contamination investigations are conducted according to the results of the geo-historical survey. If the results confirm contamination by hazardous substances, development activities are conducted after appropriate soil improvement and spread prevention measures are taken by a designated contaminated soil treatment company in accordance with the Soil Contamination Countermeasures Act.

When acquiring an existing property and demolishing or renovating it, we conduct a thorough preliminary confirmation with the demolition or renovation contractor in order to comply with relevant laws and regulations, including asbestos surveys, and take appropriate measures to prevent the dispersal of harmful substances such as asbestos and chlorofluorocarbons. In the event that treatment or management of specially controlled industrial waste becomes necessary at any of our buildings, we will dispose of them appropriately in accordance with laws and regulations. In the development of our buildings, we use building materials that meet JIS and JAS standards for low emission of formaldehyde, a substance that causes sick building syndrome, in an effort to provide safe and secure housing.

In order to comply with environmental standards under the Air Pollution Control Law, our group periodically measures soot and smoke at facilities subject to control by law and confirms that emission standards are met before operating such facilities.

The following reduction targets have been set for waste reduction.

The Group participates in the Ecocap Movement in cooperation with the NPO Ecocap Promotion Association. By collecting and donating used plastic bottle caps from Tamachi Tosei Building, we promote social contribution from various aspects such as recycling into reusable plastic materials, reducing CO2 emissions, supporting medical care, and promoting employment for the disabled and elderly. In FY2023, 74.10 kg of plastic bottle caps were collected and donated.

In promoting efforts to conserve water resources, the following reduction targets have been set.

To conserve water resources, the Group promotes water-saving construction for toilets and other water facilities in its fixed assets. To date, water-saving renovation work has been carried out at Awajicho Tosei Building, Yotsuya Tosei Building, and Narimasu Tosei Building.

The Group regularly assesses water stress and water risk in our main business areas (Tokyo, Kanagawa, Chiba, and Saitama prefectures) using Aqueduct, the assessment tool of the World Resource Institute (WRI). As of September 2024, there were no areas classified as "High" or higher for water risk.

There were no penalties or fines for violations of environment-related laws and regulations (including water-related) or accidents in FY2023.

In our Revitalization Business, existing buildings are utilized to enhance their value, which has less impact on the environment and conserves resources compared to rebuilding. In order to make the most of the individuality of a wide variety of existing properties and further enhance their attractiveness, we consider a revitalization menu with "Well-being," "Eco Friendly," and "Resilience" as important guidelines, providing optimal value for owners and tenants.

In recent years, company housing has been increasingly decommissioned and left vacant as companies reassess their assets, contributing to the growing problem of vacant housing in cities. We are working to supply new rental housing to the market while making effective use of the existing buildings by purchasing unused company housing and enhancing the value of the property.