Daito Trust Construction is expanding its purchase, renovation, and resale business in the United States as a key part of its global growth strategy. The company targets American housing markets with strong demand for renovated income properties.
U.S. Business Launch
Daito Trust Construction launched its purchase-renovation-resale business through its subsidiary Daito Kentaku USA, LLC. It opened an office in El Segundo, California, in July 2024 to source properties, handle renovations, and manage sales. The first project acquired 32 units across eight two-story wooden apartment buildings in Redondo Beach, Los Angeles County, California. Daito plans comprehensive renovations followed by sales to group customers, businesses, and investors, with ongoing property management under contract after resale.
Follow-On Acquisition
In January 2026, Daito acquired a 65-unit single-building condominium complex in North Hollywood, Los Angeles County, California, for about $ 30 million. The property, completed in 2008, will undergo renovations with sales planned around summer 2026.
Medium-Term Growth Plan
This U.S. initiative ties directly to Daito’s Medium-Term Management Plan for fiscal years 2024–2026. The purchase-renovation-resale segment alone targets net sales of 10 billion yen in the fiscal year ending March 2027. Daito aims to manage 1.5 million rental units worldwide by 2029, including 50,000 overseas units. It currently manages over 1.26 million rental units in Japan, holding the top spot for 28 straight years.
Integrated Services Model
Daito exports its full-service approach, construction, brokerage, leasing, and management to international markets. In the U.S., it focuses on used multifamily properties and condos near high-demand areas like the North Hollywood Arts District. The model creates stabilized income assets: buy existing properties, renovate thoroughly, resell, and provide long-term management. This mirrors Daito’s domestic operations, where it delivers turnkey rentals backed by reliable occupancy and services.
U.S. Market Fit
America’s deep stock of older multifamily housing suits Daito’s expertise in value-add renovations. Coastal markets like Greater Los Angeles offer steady tenant demand and investor interest in managed rentals. Daito also completed a roughly 20-million-dollar brokerage deal in New York, signaling early activity beyond California. The company plans to grow this line on a full-scale basis.
Impact on U.S. Markets
Daito enters as an institutional buyer competing for well-located older multifamily assets. Its projects deliver capital upgrades and professional management, potentially improving rental quality for tenants in targeted areas. For investors, especially Daito’s established client base, it provides a packaged entry into U.S. residential real estate. This could channel more properties into managed portfolios rather than local individual ownership.
Daito’s disciplined, management-focused approach sets it apart from pure speculators in the U.S. market. Its scale and track record point to reliable ownership that stabilizes neighborhoods over time. That said, growing foreign institutional demand in supply-tight coastal cities like Los Angeles raises valid questions. Local buyers and small landlords may face stiffer competition, prompting calls for policies that prioritize domestic access to renovated housing stock.
