Breaking News

RBS First-Half Profit Doubles, Shares Gain as Much as 10% in London
Tweet TWEET

Mitsui Fudosan Finds Defect in Apartment Built by Shimizu

Mitsui Fudosan Co. (8801), Japan’s largest property developer by sales, reported defects in a residential complex being built by Shimizu Corp. (1803) and will start repairing those parts this month, Kawasaki City said in a statement.

Shimizu last month found cracks in the concrete of some columns on the fourth floor of the building that will be 47 stories when completed next year in Kawasaki City, the city’s urban development department said in the statement on its website on March 31.

Mitsui Fudosan is the latest company to report defects at a residential building after Mitsubishi Estate Co. said one of its complexes in central Tokyo, built by Kajima Corp. (1812), will be scrapped and rebuilt after construction flaws were found.

Sekisui House Ltd. last month found some flaws in the foundation at a site in Tokyo where Taisei Corp. (1801) is working on a 30-story apartment building. Taisei will finish the repairs early this month and the quality of the property won’t be affected, Sekisui said.

Mitsui Fudosan Residential Co., a unit of Mitsui Fudosan, plans to explain the details of the defects to buyers of the apartments from April 10, the city said. Mitsui Fudosan, which has sold 514 units out of 670 units, stopped selling the rest, the company said in a statement faxed to Bloomberg News today.

“We will deeply apologize and will respond to it with sincerity,” Mitsui Fudosan said in the statement.

Shimizu will delay the completion of the building, which was expected in March 2015, Mitsui Fudosan said.

Shimizu will be responsible for fixing the defects, the company said in a statement e-mailed to Bloomberg News today. Akira Asakawa, a spokesman at Shimizu, declined to comment on the cause and details of the flaws.

The builder added the fifth and sixth floors without putting mortar between columns at the fourth floor, the city said.

To contact the reporter on this story: Takahiko Hyuga in Tokyo at thyuga@bloomberg.net

To contact the editors responsible for this story: Chitra Somayaji at csomayaji@bloomberg.net Andreea Papuc

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.