• A uniquely aggressive play on Tokyo commercial real estate – Loadstar Capital is unique among listed Japanese real estate peers in its use of leverage, velocity of capital deployment, and shareholder alignment. We believe the Company is much more akin to a real estate private equity fund in its approach towards capital allocation and focus on asset monetization. Importantly, Loadstar’s founder, Mr. Tatsushi Iwano, continues to hold 20% of the Company, reflecting management’s alignment with shareholders and belief that Loadstar can continue to sustain its growth. Concerns on the Company’s use of leverage and interest rate exposure are valid, but the Company has navigated the BoJ rate hike cycle with strength and is acutely aware of the need to diversify its capital raising channels.
