BLOCKS Meguro Fudomae

Small head office building in a residential area → converted into shared office "BLOCKS"

Small head office building in a residential area → converted into shared office "BLOCKS "

‍Many small business owners run companies with one to a few employees, creating a demand for workplaces closer to home. We recognized the significant difference in real estate prices between central Tokyo and areas slightly within residential zones. Consequently, a small head office building, located in a slightly residential area just a 3-minute walk from Fudomae Station, was renovated into "BLOCKS Meguro Fudomae," a single-building shared office designed for small businesses. This facility offers private rooms (for 1-4 people), a lounge, and a rooftop. Despite offering a lower per-seat price than shared offices in central Tokyo, it has achieved a higher return on investment compared to residential properties or offices in the area. It has become a popular facility, particularly among local workers who found it difficult to concentrate on work at home.
WEBSITE:https://www.blocks-office.jp/fudomae/

‍Identifying Business Opportunities for Shared Offices in Residential Areas‍

As remote work and diverse working styles become more prevalent, a shorter distance between work and home significantly improves quality of life. However, shared offices are predominantly concentrated in city centers. In residential areas slightly removed from the city center, real estate prices drop considerably, while shared office per-seat rates decline more slowly and tend to remain high, indicating potential for high returns. Moreover, areas close to residential zones often have lower floor area ratios, enabling comfortable designs with ample space and creating opportunities for added value through distinctive design. Based on these observations, we believe that expanding shared offices into residential areas offers a sustainable business opportunity that combines economic viability with differentiation.Meeting the Latent Needs of the Target Audience

Developing an Original Brand Offering Space and Services

‍Considering market trends, challenges, and emerging trends, we planned and developed the "BLOCKS OFFICE" brand as an investment package for shared offices, designed to both enhance investment returns and address latent needs. Private rooms are fully equipped with furniture and internet access, complemented by well-appointed common areas such as meeting rooms, lounges, and rooftops. We ensure ample space per person while maintaining a price point lower than high-end co-working spaces. The "OFFICE HOUSE" concept, which balances concentration and relaxation, is brought to life through thoughtful plant arrangements, private rooms with windows, and specialty coffee. To further strengthen our operational structure, we also established "BLOCKS PLUS," a joint venture with RJ Office.

‍Yielding Positive Outcomes for Both Investment Returns and Tenant Satisfaction

‍While we initially experimented with expanding concept recognition and leasing strategies, we are now achieving results that exceed our expectations. Our in-house facility operation ensures that staff, who deeply understand and are committed to the brand, engage in thoughtful communication with tenants. This approach leads to enhanced satisfaction and the swift implementation of improvements. Moreover, with lifestyle changes since the COVID-19 pandemic, the facility has been widely embraced by individuals who prioritize living close to work and flexible time management, offering a place where they can achieve both an ideal lifestyle and work efficiency.