Real Quality Completes 3rd Round of Fundraising for RQ Ryokan Revitalization Fund

TOKYO JAPAN, July 31, 2024 - Real Quality Co., Ltd. (CEO: Goh Kobayashi, Headquarters: Tokyo, Japan) announced the successful completion of the 3rd round of fundraising (3rd close) for the “RQ Ryokan Revitalization Fund” on July 31, 2024. The Fund primarily targets ryokans (traditional Japanese inns) and hotels in Japan.

”Hakunso”, a Yugawara hot spring resort operated by Real Quality

Gokurakuyu Holdings Co., Ltd. joined the Fund in the 3rd close as an additional Limited Partner (LP). With the inclusion of Gokurakuyu, a publicly listed company in Japan known for developing and managing hot spring facilities nationwide, the Fund size has expanded to a total of JPY 3.0 billion (USD 19.5 million). Gokurakuyu will strategically collaborate with the Fund’s portfolio companies, providing expertise in marketing, maintenance and renovation.

Since its inception on June 30, 2023, the RQ Ryokan Revitalization Fund has invested in three ryokans. Leveraging Real Quality’s 18 years of experience in the ryokan and hotel  industry, the Fund provides hands-on support for the revitalization of its portfolio companies and aims to nurture the next generation of leaders in the industry.

The Fund is targeting a total size of JPY 5.0 billion (USD 32.5 million) and continues to seek LP investments from regional financial institutions and business corporations.

Despite an increasingly complex market environment, Real Quality remains unwavering in its commitment to supporting the revitalization and sustainable growth of the hospitality industry, a core mission since the company’s founding in 2006.

Fund Overview        

Fund Name: RQ Ryokan Revitalization Fund, L.P.

Fund Size: JPY 3 billion (maximum size of JPY 5 billion)

General Partner (GP): Real Quality Co., Ltd.

Limited Partners (LP): Organization for Small & Medium Enterprises and Regional Innovation Japan (SMRJ), regional financial institutions and business corporations

Established: June 30, 2023

Investment Focus: Japanese hospitality companies such as ryokans and hotels

About Real Quality Co., Ltd.

Established in 2006, Real Quality has a proven track record with over 1,000 projects in ryokan and hotel consulting, business due diligence, and market research. True to its name, “Real Quality,” the company is dedicated to the sustainable growth of the entire hospitality industry including ryokans and hotels. In addition to managing the Fund and its portfolio, Real Quality currently operates five ryokans in Japan. The CEO of Real Quality has authored the book “How to Revitalize a Ryokan: Concrete Methods Based on Revitalizing Three Ryokans,” which provides an unfiltered look at the realities of the industry.