Hungry for growth; focusing on property sourcing and product awareness
To achieve further growth, Quraz is focusing on initiatives to increase sourcing capabilities and raising awareness of self-storage product.
Sourcing criteria include:
- Currently used as office, shop or warehouse etc.
- Total floor area of 300-750 tsubo (1000-2500sqm) either for purchase or lease (with no existing tenants)
- Built after 1981 (or conforming to seismic regulations)
- Construction Certificate and Application certificates available
- Parking space available
- 24-hour access to the building available (for lease properties)
Total acquisition and conversion cost is approximately 1 billion yen per property.
Tokyo is the main target market, however non-Tokyo markets including Yokohama, Kobe and Fukuoka (where Quraz currently has less reach) are also candidates. Proximity to a station is not regarded as important factor in any market.
In an effort to increase awareness of the self-storage product and business, Quraz is active in disclosing industry information via its website. Despite rapid growth of the industry, unavailability of market information has made it hard for those outside of the industry to research details and understand potential for growth. Industry information also has an important implication for financing from financial institutions. Therefore, Quraz is making a strong effort to conduct industry research and analysis and publishing data and reports.
Quraz aims to open more than 20 shops in the next 3 years while exploring various ways of raising funds and expanding business opportunities. Stephen Spohn, President and Representative Director of Quraz, says “the real-estate finance market will soon recognize the stability and potential of the Japanese self-storage industry, eventually making it a new asset class”