Challenges in Australia, Our Second Overseas Expansion Target

Although Daibiru was solidifying its position as a trailblazer in the office building management business in Vietnam, the small size and overheated condition of the Vietnamese office space market made it difficult to acquire new investment properties. Accordingly, Daibiru selected Australia as its second international destination after Vietnam. The U.S. and other Asian countries were also considered, but Australia was chosen not only for its growing population but also on the basis of research showing that the country boasted more than 20 consecutive years of positive economic growth despite being a developed country, and that demand for office space was also steadily growing.

After continuing its market research through numerous visits to Sydney and Melbourne, two major Australian cities, starting in 2017, Daibiru found that the period between documentary disclosure and bidding for property in Australia is quite short—just two or three weeks—and that the buying process happens at a considerably faster pace than in Japan. Because it was difficult for Daibiru to accommodate the speed of the bidding process, we decided to aim for an off-market transaction that would give us more time to negotiate with the seller.