Orange and Partners Forms Business Alliance with Profits to Enhance Real Estate Asset Value Centered on 'Experiential Value'

Orange and Partners Inc., a consolidated subsidiary of INCLUSIVE Holdings Inc., announced that it has entered into a business alliance with Profits Inc. as of June 3, 2026. The partnership aims to increase profitability and asset value by enhancing 'experiential value' and 'brand value' in real estate.

The alliance will focus on improving real estate value for properties such as residences, offices, hotels, and regenerated existing properties, based on the axes of 'regional character,' 'community,' and 'experience design.' Instead of merely providing space, the goal is to create new real estate value by generating experiences that make people 'want to visit again' and 'want to recommend to others,' leading to improved occupancy rates, higher revisit rates, and rent premiums. Profits will take the lead in promoting projects focused on property acquisition, regeneration, and value enhancement, with an annual investment volume target of approximately 20 billion yen.

The two companies first collaborated on the development of the 'TRAN.SCENDER® HÔTEL Yokohama' in Yokohama Chinatown, which opened last November. Profits handled overall project and asset management, while Orange was responsible for everything from concept creation to experience design based on its 'Branded Placemaking' philosophy. Building on this successful case, they aim for the social implementation of a new real estate model centered on 'experiential value' by combining their respective expertise.

The goal of this alliance is not simple renovation, but the construction of a new way of thinking about real estate value that increases revenue and asset value by creating 'reasons to go' and 'experiences that make you want to come back.' It treats spontaneously generated word-of-mouth and social media posts, community-forming facilities, and stays that allow one to feel local culture and stories as key competitive strengths, emphasizing the creation of a brand identity that is less susceptible to price competition. The aim is to visualize previously subjective 'experiential value' as a basis for investment decisions by translating it into metrics such as LTV (Customer Lifetime Value) and repeat rates, establishing a new evaluation axis.

'Branded Placemaking,' as conceived by Orange, is a strategy to brand a place itself by incorporating its history, culture, and stories into the experience. By developing content from the concept stage with the post-opening customer experience in mind, it fosters a sustainable capacity for information dissemination. The target assets are diverse, including residences, offices, hotels, and the regeneration of idle properties. They will work on re-editing these assets, aiming for residences to offer 'an enriching way of life,' offices to be 'places where new encounters are born,' hotels to be 'hubs for regional culture,' and idle properties to become 'places that create new value.'

Shinichiro Tanaka, President of Profits Inc., stated, 'We will challenge ourselves to connect themes like profitability and social outcomes, and the meaning of a place with investment feasibility, so that real estate becomes an infrastructure that enriches people's emotions and experiences.' Yuki Hagio, Executive Vice President of Orange and Partners Inc., commented, 'There is a shortage of players and plans that can develop while balancing economic rationality with enriching people and society. Through this collaboration, we will further promote the 'branding of places' and the 'mediatization of places.'