In tandem with its principal construction operations, Kajima has expanded its overseas real estate operations, mainly in the regions of North America, Europe, and Asia.

During fiscal 2000, Kajima actively sought to profitably sell its overseas real estate assets, in line with the objectives of the Company's three-year management plan. In the future, plans call for selectively undertaking new overseas development projects while closely monitoring market trends in Europe and the United States as well as the pace of economic recovery in Asian countries. 

Regarding North America, Kajima proceeded on schedule with the sale of shares in the Industrial Property Fund, which is comprised of distribution warehouse facilities created in the course of the Company's industrial distribution warehouse development. In the area of fee development, the construction of Pacific Bell Park, the home of the San Francisco Giants professional baseball team, was completed on schedule and opened in spring 2000. At the Hualalai Resort in Hawaii, the Company continued with the successful marketing of luxury condominium units. In its third year of operation, the Four Seasons Hotel at the Hualalai Resort maintained steady performance improvement.

The economic recovery in Asia helped improve performances by Kajima's large-scale development projects in that region. These include the mixed-use Senayan project in Jakarta, which encompasses retail facilities, offices, and apartments based on a build-operate-transfer (BOT) contract with the Indonesian government. Another mixed-use project, the Millenia in Singapore, includes five buildings that house offices, hotels, retail and other facilities. Although Singapore's hotel market is extremely competitive, the Millenia's two hotels―the Ritz Carlton and the Conrad―have firmly established their position as top-end hotels in Singapore.

In Europe, Kajima sold four office buildings adjacent to London's Euston Railway Station as well as two buildings in the Stockley Business Park, an office park development located near Heathrow Airport. The Stockley Business Park is characterized by a quick turnover of invested funds; buildings are sold to investors soon after their construction and occupancy by tenants. To date, 16 buildings were successfully developed and sold in that way. In October 1999, planning permission was obtained for the construction of up to 500,000 of additional office space as part of the business park's third stage of development. Other important development projects in Europe include the Messe Tower in Germany and the St. Endreol Resort in southern France, which includes a golf course and a  35-room Para-hoterie lodging facility.