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How to Choose a Construction Company for Successful Apartment Management

A guide for those starting apartment management, comparing six construction steps and seven proven builders. It explains differences in management fees, support systems, and brand strength.

Last updated: About 1 min read

For those starting apartment building management, selecting a reliable construction company is a critical factor in achieving success. This article outlines the apartment construction process, highlights the characteristics of construction companies with proven track records, and provides information to support sound investment decisions.

What is the apartment construction process? A guide to 6 steps

The construction of a 3- to 5-story apartment building generally proceeds through the following six steps. As a rough timeline, the full process typically takes about one to two years from initial planning to completion.

  1. Consultation with a house builder(Obtain plans from multiple companies)
  2. Land survey and advance preparation(Confirm registration, zoning, and road access, and prepare the financing plan):about 1 to 2 weeks
  3. Plan review(Assess the layout, facilities, and design against local demand):about 1 week to several months
  4. Selection of the construction company and contract signing(Construction contract and final loan screening):about 1 week
  5. Start of construction to completion(Greetings to neighbors and construction management):about half a year to 1 year
  6. Inspection and tenant recruitment(After the fire inspection and building confirmation, operations begin in coordination with the management company)

What are the characteristics of major construction companies with apartment building experience?

When choosing a construction company, it is important to compare track record, management structure, and support offerings in a well-rounded way. Below is a summary of the characteristics of seven major companies.

  • クラスト:More than 45 years of experience, no management fees, and high-quality housing with strong disaster preparedness
  • 積水ハウス:Nationwide coverage, integrated support from design to master lease, and the “シャーメゾン” brand
  • アヴェントハウス:Flexible design suited to the land and a 24-hour management system
  • 大東建託:An industry leader in managed rental units and brokerage volume, with support ranging from wooden structures to RC construction
  • シノケンハーモニー:Full management outsourcing for all operations from tenant recruitment to move-out settlement
  • 大和ハウス工業:A major industry player with a group-based master lease system
  • ミサワホーム:Winner of the Good Design Award for 32 consecutive years, with support for a wide range of construction types

Frequently Asked Questions (FAQ)

Q. How much does construction cost for apartment building management?

Costs vary significantly depending on the structure and scale, but for RC construction, a general benchmark is about JPY 800,000 to 1.2 million per tsubo. The calculation is based on the building cost alone, excluding land costs.

Q. Should the construction company and management company be the same provider?

Using a single provider can make coordination smoother, but in some cases management fees may be higher. It is advisable to compare construction and management separately before making a decision.

Q. What is the most important point in apartment building management?

Site selection and financial planning. Accurately understanding local rental demand and creating a plan that avoids negative cash flow are fundamental conditions for success.

Daisuke Inazawa, President & CEO of INA&Associates Inc.

Author

President & CEOINA&Associates Inc.

President & CEO of INA&Associates Inc. Leads real estate brokerage, rental leasing, and property management across Greater Tokyo and the Kansai region. Specialises in income-property investment strategy and advisory for ultra-high-net-worth individuals.

Daisuke Inazawa is the President and CEO of INA&Associates Inc., a Japanese real estate firm headquartered in Osaka with a Tokyo branch. He leads the company's three core businesses — real estate sales brokerage, rental leasing, and property management — across the Greater Tokyo Area and the Kansai region.

His areas of expertise include investment strategy for income-generating real estate, profitability optimisation of rental operations, real estate advisory for ultra-high-net-worth individuals (UHNWIs) and institutional investors, and cross-border real estate investment. He provides data-driven, long-horizon advisory to investors in Japan and overseas.

Under the management philosophy "a company's most important asset is its people," he positions INA&Associates as a "people-investment company" and is committed to sustainable corporate-value creation through talent development. He also writes and speaks publicly on leadership and organisational culture in times of change.

He has passed eleven Japanese professional qualification examinations: Licensed Real Estate Broker (Takken), Certified Real Estate Consulting Master, Licensed Condominium Manager, Licensed Building Management Supervisor, Certified Rental Housing Management Professional, Gyōseishoshi Lawyer (administrative scrivener), Certified Personal Information Protection Officer, Class-A Fire Prevention Manager, Certified Auctioned Real Estate Specialist, Certified Condominium Maintenance Engineer, and Licensed Moneylending Operations Supervisor.

  • Licensed Real Estate Broker (Takken)
  • Certified Real Estate Consulting Master
  • Licensed Condominium Manager
  • Licensed Building Management Supervisor
  • Certified Rental Housing Management Professional
  • Gyōseishoshi Lawyer (Administrative Scrivener)
  • Certified Personal Information Protection Officer
  • Class-A Fire Prevention Manager
  • Certified Auctioned Real Estate Specialist
  • Certified Condominium Maintenance Engineer
  • Licensed Moneylending Operations Supervisor