Financial Strategies

IAL will work to increase unitholder value by controlling loan-to-value ratio with a view to stimulating growth and practicing efficient cash management, all under a basic policy of conservative financial management.

Conservative Financial Management

IAL will establish a stable financial base by forming solid banking relationships centered on megabanks. Exercising control with a view to future growth of our asset scale, our policy is to maintain a loan-to-value ratio of 40–50% in routine operations as a basic rule.

For details, please see Financial Summary.

Cash Management

It is a feature of logistics real estate that the ratio of buildings cost is relatively high, which means that depreciation cost is a relatively large financial item. Mindful of this, we seek to maximize unitholder value by weighing the various options for effective deployment of funds, such as effective capital expenditure, allocation to new property acquisition funds, and repayment of interest-bearing debt.

Cash management

  • The above is strictly a guideline and is not intended as a presentation of the actual rates of distribution of retained earnings or surplus cash distribution.