[Digital Securities Forum 2023]The future of real estate investment created by security tokens (ST) | CoinDesk JAPAN

N.Avenue Co., Ltd., the operating company of CoinDesk JAPAN, will co-host the “Digital Securities Forum 2023” on Wednesday, December 13, 2023 with Nihon Keizai Shimbun.

Digital securities (ST) are attracting attention as a new standard-bearer for real estate investment. Kenedix, which was one of the first companies to enter this market, is actively developing products for the real estate ST market. Akihiro Nakao, the company’s executive officer, says he expects real estate ST to undergo major changes since the birth of the REIT market.

kenedix
Operating officer
Director of Digital Security

Mr. Akihiro Nakao

Since joining Kenedix in 2007, he has been involved in planning work and fundraising in the Corporate Planning Department. Since 2011, he has been participating in a residential J-REIT launch project as CFO. Since 2015, he has overseen the business of the Singapore subsidiary and promoted business development in Asia. Since January 2020, he has been promoting the commercialization of real estate STO as the person in charge of the Digital Security Department in Japan.

ST opens up endless possibilities in real estate

By the end of 2023, it is expected that a total of over 150 billion yen worth of real estate will be transformed into ST. Approximately two and a half years have passed since Kenedix issued Japan’s first real estate ST in August 2021, and a new real estate investment market following J-REITs and real estate private funds is emerging in Japan with more momentum than expected. Kenedix, whose corporate mission is “Opening up the limitless possibilities of real estate,” is also actively working to create the real estate ST market as a new business field.

We predict that by the end of 2030, more than 2.5 trillion yen worth of real estate will have been transformed into ST. The investor base for real estate ST, which can invest from 100,000 yen, is steadily expanding, and a total of 10,000 investors have invested in real estate ST managed by Kenedix. As asset management awareness among a wide range of investors increases, we have a solid feeling that real estate ST will play an important role as a source of diversified investment following stocks and bonds.

Possible game change in real estate investment

On the other hand, as we move forward with the commercialization of real estate ST, I strongly feel that advancing the handling of digital securities will not only diversify the product lineup, but also provide an opportunity for businesses to transform their own business processes. It means it can happen. In real estate ST, where it is possible to sell a wide variety of products in small quantities, how can we efficiently analyze the diverse investment needs of a wide range of individual investors and utilize them in product development? In the asset management industry, where labor shortages are a common issue, can the operational management flow, which tends to become overly complex, be efficiently restructured by utilizing digital characteristics? Through real estate ST, businesses face these challenges and seek new solutions, which will lead to fundamental changes since the REIT market was established in Japan in 2001 that will shape the future of real estate investment in Japan. I think it could happen.

We hope that this forum will be an opportunity for us to discuss together how digital securities can be utilized based on the initiatives and strategies of Kenedix, which has a track record of issuing numerous real estate STs. .

｜Reprinted from Nihon Keizai Shimbun “Digital Securities Forum 2023 Advertising Special” dated December 12, 2023
｜Image: CoinDesk JAPAN