In the realm of real estate development, strategic partnerships between industry leaders often yield transformative outcomes. Federal Land NRE Global Inc. (FNG) is a compelling example of such a collaboration, leveraging the combined expertise of Federal Land, Inc. and Nomura Real Estate Development Co., Ltd (NRE). Property Report explored this dynamic as FNG invited members of the Philippine press to an exclusive interview with NRE top executives and to visit NRE’s developments in Japan which will serve as inspirations for future Philippine projects. This initiative underscores FNG’s dedication to infusing Japanese quality and innovation into the Filipino market, promising a new level of living experience.
A global commitment to excellence
The origins of FNG stem from the union of Federal Land, Inc. (FLI) and Nomura Real Estate Development Co., Ltd (NRE). Federal Land, with over 50 years of experience, is a key player in the Philippines’ real estate scene, consistently innovating through residential, commercial, and mixed-use projects as part of GT Capital Holdings. Nomura, established in the 1950s, is a diversified leader in Japan’s real estate sector, known for its residential development, leasing, and property management, and has expanded globally while maintaining a commitment to excellence.
Mr. Masato Yamauchi, Head of Overseas Business Division at NRE, emphasized the mission of FNG, “FNG’s mission is to enrich people’s lives and prosperity through the creation of sustainable urban communities based on the spirit of mutual respect and partnership between the Philippines and Japan as equals. We have added the word ‘global’ to our company name because through the strong partnership between FLI and NRE, we hope to become a market leader in the real estate business that continues to provide value beyond generations and countries.”
Harmony between Japanese innovation and Filipino sensibility
At the heart of FNG’s mission are its well-defined brand pillars and innovative vision to transform urban living. This alliance between Federal Land, Inc. and Nomura Real Estate Development Co., Ltd. melds a century of combined expertise, showcasing their shared dedication to innovation, quality, and customer-centricity.
Mr. Atsushi Ogata, Nomura Real Estate Development Co. Ltd. Executive Officer, emphasized the importance of localization, “FNG takes Japanese design philosophies and localizes them to the Filipino market. Not everything that is done in Japan will work in the Philippines. In FNG, careful and thoughtful consideration of what is essential to the customer’s needs is practiced throughout the project development process.”
Mr. Ogata further emphasized, “Filipinos today seek a living environment that enriches their lives. Homes are no longer just places to sleep but spaces that enhance quality of life. In Japan, housing is designed with people’s lives in mind, creating rich living spaces, which is our specialty. This includes features like efficient waterways and functional storage solutions. [For example], in Japan, storage solutions are meticulously planned to maximize space efficiency. We are applying this principle in the Philippines to enhance what naturally exists, a feature well-received by our customers.”
Strategic and transformative developments
The economic and social impact of FNG’s developments is anticipated to be substantial, with a combined project cost of approximately 5 billion US dollars in the Philippines. These projects are designed to cater to the evolving needs of the market, offering high-quality residential and commercial spaces that meet the diverse demands of both end-users and investors. “We believe that high-quality products that leverage our knowledge are strong in the Philippines as well,” Mr. Yamauchi notes, predicting that “differentiation will become more important in the Philippines in the future and that quality will be important.”
FNG views the Philippines as a key investment target due to the anticipated growth of the Philippine market. With a population of over 100 million that continues to grow, and an average age of 24 years old—significantly younger than Japan’s average of 48 years old—Mr.Yamauchi has great expectations for the country’s ability to support growth through its young population in the medium to long term. He emphasized the economic attractiveness of the Philippines, noting that “GDP continues to grow at a high-annual rate of around 5-6%,” and highlighted the “power of consumer spending” supported by a growing population.
Mr. Yamauchi also pointed out the accelerating diversification of customer needs along with economic growth. “Developers should also move to a phase that requires ‘differentiation’,” he said, expressing his hope that Japanese experience could contribute to this differentiation for FNG.
A successful project in BGC, initiated in 2017, was instrumental in establishing the joint venture. Through the promotion of this project, FNG not only demonstrated the strength of the economic growth but also realized the expectations and appreciation of their products from customers. He reflected on this experience, stating, “Above all, I feel that we were able to build a deeper relationship with Federal Land, our partner, through this project.” The joint venture was established with the shared goal of leveraging each other’s strengths to deliver new value to the Philippine public.
A legacy partnership
FNG’s vision and brand pillars, combined with the strategic expertise of Federal Land, Inc. and Nomura Real Estate Development Co., Ltd., are set to reshape the urban fabric of the Philippines. This collaborative journey is a testament to the power of strategic partnerships in reimagining urban landscapes and setting new standards of excellence in the real estate industry. With a commitment to quality, innovation, and the unique needs of the Filipino market, FNG is poised to not just meet but exceed the expectations of a rapidly growing and evolving real estate sector. The future is bright for FNG as it continues to build sustainable, sophisticated, and enriching communities that will stand the test of time, leaving a lasting legacy for generations to come.
