Amidst a recession, housing starts in Japan dipped below 1 million units in 2009 and 2010, the first time in four decades. Following an earthquake in March that killed thousands and destroyed more homes, Sekisui House Ltd. (1928), Japan's second-largest home builder, expects the biggest housing boom in 15 years, according to Bloomberg News.

Housing demand in Japan immediately took a dip following the earthquake but is expected to pick up in the second half of the year.
Isami Wada, chairman of Sekisui House, said in an interview with Bloomberg News that the Osaka-based company will focus on the local market after as it expects the housing demand to reach the 1 million-unit level again. Sekisui is predicting demand will exceed that of 1996, a year after the Great Hanshin Earthquake, when 1.6 million new homes were built.

"This time, the earthquake damaged a much wider area," said Wada, who is also chief executive officer, according to Bloomberg News. "The need for revival is greater than the Hanshin earthquake. With so many aftershocks, I expect more home owners will seek to rebuild."
Sekisui net sales in fiscal year ended Jan. 31, 2011, amounted to JPY1,488,369 million, (up 10% from the previous year). Operating income grew to JPY56,354 million, ordinary income to JPY56,271 million, and net income to JPY30,421 million.

Sekisui expanded overseas in the past three years, due to the declining demand in Japan. In Australia, it acquired the built-to-order homebuilding unit of AV Jennings, a company with a 70-plus year history, and agreed to a business and development alliance with the leading developer, Lend Lease Group. In the United States, it agreed to participate in the joint development of residential and commercial complexes with leading real estate developer and homebuilder Miller and Smith on the One Loudoun Project in the suburbs of Washington D.C., and with Newland Real Estate Group on the Cinco Ranch housing and commercial development project located in western Houston.