What: Japanese retail group J. Front Retailing, which operates Daimaru and Matsuzakaya department stores, will strengthen the development of luxury apartments and hotels.

Why it is important: The group aims to reduce its heavy reliance on department store and other retail operations.

J. Front plans to expand its real estate and financial operations so the sector will account for 40% of the company’s operating profit by fiscal 2030, up from 20% in fiscal 2019. The company hopes to develop facilities other than retail stores by using existing assets, such as department store annexes and land where a logistics centre used to stand.

J. Front to strengthen apartment and hotel business