Completion of construction of "SOSiLA Yashio," a logistics facility located near points of consumption

"SOSiLA Yashio" (Yashio City, Saitama), a facility in the SOSiLA series of logistics facilities located near points of consumption that Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President and Chief Executive Officer: Masayuki Hyodo) is currently developing, was completed on January 17 and a ceremony to celebrate its completion was held on this day.

In recent years, owing to the increase in demand for logistics facilities spurred by the expansion of the e-commerce market and also due to the spread of COVID-19 cases, the significance of essential workers, such as delivery truck drivers and warehouse workers, has grown, resulting in major issues such as shortages in the working population and a growing need to improve working environments. In order to provide solutions to these issues, Sumitomo Corporation has developed the SOSiLA series under the theme "Logistics Facilities connecting People and Society," and is promoting the development of logistics facilities near points of consumption that provide support for the last mile (Note 1).

Located in an area where the Metropolitan Expressway No. 6 Misato Line and the Tokyo Gaikan Expressway intersect, "SOSiLA Yashio" enables greater efficiency in deliveries mainly to the Greater Tokyo area. In addition, as a "Logistics Facility connecting People and Society," we also carry out community-oriented initiatives such as opening our facilities to neighboring residents as a temporary evacuation site in the event of an emergency. A decision has been finalized for Rengo Co., Ltd., a general manufacturer of packaging material, to take tenancy of the whole building. We have collaborated with the company in the development and operation of "SOSiLA Osaka" (Fukushima-ku, Osaka), and are considering further collaboration, with an eye toward improving logistics efficiency and creating business synergies for both companies.

We have now completed construction of a total of 14 SOSiLA series logistics facilities, including “SOSiLA Yashio,” and going forward in the Greater Tokyo area, we plan to complete "SOSiLA Chuo Rinkan (provisional name)" (Yamato City, Kanagawa Prefecture), and begin construction of "SOSiLA Kashiwa (provisional name)" (Kashiwa City, Chiba Prefecture). We also plan to develop logistics facilities near points of consumption in the Kansai area in addition to SOSiLA Osaka and SOSiLA Amagasaki (Amagasaki City, Hyogo Prefecture), whose construction was completed last year. Going forward, we will be promoting development not only in the Greater Tokyo and Kansai areas, but also nationwide.

At Sumitomo Corporation, we position logistics real estate as the "fourth pillar" in our real estate business, along with office buildings, commercial facilities, and condominiums. The total floor area of the logistics facilities developed by Sumitomo Corporation exceeds 1.05 million square meters (approximately 310,000 tsubo) (Note 2), with an asset value of over 270 billion yen (Note 3). Due to the impact from the COVID-19 outbreak in recent years, the need for logistics facilities located close to points of consumption has been increasing more than ever. Going forward, we will continue to promote the development of logistics facilities that support the last mile, mainly in urban centers and densely populated areas, and work to improve delivery efficiency and working environments.

(Note 1) Last mile:
The final section in the delivery of goods from a logistics hub to the end user.

(Note 2) The total floor area of logistics facilities developed exceeds approximately 1.05 million square meters (approximately 310,000 tsubo).
This is the total floor area of logistics facilities in which Sumitomo Corporation participated in developing, including consortiums.

(Note 3) Asset value exceeds 270 billion yen.
This includes not only owned assets but assets owned by funds that Sumitomo Corporation is invested in. Asset value of developed properties refers to their value at the time of their completion.

■ SOSiLA Yashio, exterior view

■ SOSiLA web site: ：http://sosila.com/

Sumitomo Corporation’s Material Issues

Sumitomo Corporation Group positions “Six Material Issues to Achieve Sustainable Growth with Society” as an important factor in developing business strategies and in the decision-making process for individual businesses. Going forward, we will pursue sustainable growth by resolving these issues through our business activities. This project especially contributes to the following material Issues.

Achieving Harmony with the Global Environment

To realize recycling-oriented society and mitigate climate change, we are working to establish frameworks for the efficient use of resources and stable supply of renewable energy. In doing so, we will achieve growth in harmony with the global environment.

Contributing to the Development of Local Communities and Industries

We steadily procure and provide goods and services to meet the needs of people in various countries and regions and contribute to developing industrial platforms. Through these means, we will create a virtuous cycle in which we can grow and develop together with local communities.

Establishing a Foundation for Comfortable and Enriching Lifestyles

We strive to realize more convenient and comfortable lifestyles by providing goods and services for daily use while also responding to needs for high-quality lifestyles in order to support the physical and mental health of people around the world.

Providing Diverse “Accessibility”

We provide diverse accessibility to open up the possibility of creating new value. To this end, we will improve mobility for safe and efficient flow of people and goods, and expand the network connecting information and finance.

Developing Human Resources and Promoting Diversity

In order to create new value and innovation by allowing our diverse personnel to fully exercise their abilities in a variety of fields, we will promote the development and empowerment of human resources, which represent our most important management resources.

Enhancing Governance

We will enhance our ability to draft and implement strategies for achieving sustainable growth and to provide appropriate supervision of these strategies, all while maintaining transparency. In this manner, we will improve management efficiency and maintain sound management.