Over the past two years, more and more environmental consultants and lenders have been asking EDR if we have any plans to expand into Japan. The reason for the question is quite simple. Real estate markets are becoming more global each day and as western investors continue to expand their geographic holdings they are looking for similar due diligence service offerings in other countries. This is driving many of EDR's customers to follow their clients abroad and, likewise, is creating a need for more environmental information. While environmental information services are commonplace in parts of western Europe, nothing similar exists in Asia yet.

Due to the size of the Japanese economy combined with recent legislation, Phase I type due diligence is becoming more common in Japan. Initially, Phase Is were primarily done for western firms who were expanding into Japan. Today, however, some Japanese banks are beginning to develop environmental policies which are driving more projects. Regulatory forces may also be starting to drive activity. These regulatory changes are being driven by the Ministry of the Environment, the Ministry of Economy, Trade and Industry and the Ministry of Land, Infrastructure and Transportation.

This weekend I will be making EDR's first trip to Japan to meet with several environmental consulting firms, lenders and government agencies. The purpose of the trip is to begin developing the idea of building an information service to support environmental due diligence activities in Japan and to discuss partnership opportunities with local firms. As things develop, I will be sure to keep everyone appraised of the situation through this blog and other means.

Also, due to being abroad next week, I will not be making any blog posts until the second week of September.

I hope everyone has a safe and enjoyable Labor Day weekend.

Sayonara