CONCIERIA, the property brand of CLEARTH LIFE in Tokyo

One Year Since the Launch of “CLEARTH FUND – Mirai no Ki (Our Tree for the Future)” Asset Management of Sinking Funds Is Expanding Among Apartment Management Associations

In recent years, the Japanese apartment market has been attracting increasing interest from overseas investors. Investment properties in Tokyo’s 23 wards, in particular, are drawing attention from overseas buyers due to their stable rental demand and strong asset value.

On the other hand, the unique Japanese system of “apartment management associations” is not always well understood. Important matters concerning the status of sinking funds, plans for large-scale repairs, and overall building management are discussed and decided at the general meetings of the management association. However, many owners living overseas have limited opportunities to participate in these meetings and may not be fully aware of the current state of building management.

The quality of apartment management goes beyond simply maintaining the building itself. Appropriate repair plans and the securing of stable sinking funds contribute to maintaining the overall appearance and facilities of the building, which are essential elements in supporting a comfortable living environment. As a result, this can impact tenant satisfaction, rental rates, and even future resale value. Apartments with inadequate management may face increased vacancy risks and declining asset values, making “building management” a highly important factor in property investment in Japan.

In response to these circumstances, the “importance of asset management for sinking funds” has been increasing among apartment management associations in recent years.

Factors contributing to this include rising construction material prices and increasing labor costs, both of which have led to higher repair expenses. Furthermore, in some cases, the long-term repair plans established at the time of construction are no longer adequately aligned with current price levels, while reaching agreement among unit owners on increases to monthly sinking fund contributions can also be difficult. As a result, many management associations are facing the risk of insufficient sinking funds to cover future large-scale repair works.

In response to these challenges, the idea of “asset managing accumulated sinking funds while prioritizing safety” is gaining traction. It is within this social environment that we created “CLEARTH FUND – Mirai no Ki (Our Tree for the Future),” an investment product designed for apartment management associations.

 

What is “CLEARTH FUND – Mirai no Ki (Our Tree for the Future)”?:

 https://www.concieria.tokyo/eng/news/clearth-life-news/250820

This fund primarily consists of our branded apartments — “RYOWA PALACE,” “PALACE STUDIO,” and “CONCIERIA” — located in prime areas within Tokyo’s 23 wards. As of May 2026, the fund holds 28 units.

Furthermore, many management associations have shown interest in and endorsed the fund. Since its launch in April 2025, 29 management associations have invested, and an additional 24 are planning to invest in the near future. Total investments have exceeded JPY 1 billion, indicating a successful start. In addition, the fund was featured in an industry publication last year, further increasing its recognition not only among management associations but also among other building management companies.

The “CLEARTH FUND – Mirai no Ki (Our Tree for the Future)” enhances safety through the use of a senior-subordinated structure and also offers a high degree of flexibility in selecting the investment period.

It has been highly regarded for enabling flexible fund management at the timing required by each apartment association’s sinking fund status and long-term repair plan, while minimizing opportunity loss and promoting the effective utilization of funds.

To protect valuable assets over the long term, not only “location” and “building,” but also “management” is essential. The time has come to reconsider the importance of apartment management in ensuring stable rental income and maintaining asset value into the future.

 

At CLEARTH LIFE Group, we are taking a multifaceted approach to protecting the future asset value of apartments through management, repairs, and proposals for the effective utilization of sinking funds. Moving forward, we will continue to support owners and management associations in creating residences and assets that can be owned with peace of mind.