Hokkaido Prefecture’s aging office building in Tokyo’s Nagatacho 2 Chome area is going to be demolished to make way for their new mixed-use development. The new building will include a restaurant specializing in Hokkaido-farmed produce and will also house representative offices of Hokkaido companies.

Construction is scheduled to begin in June, 2012, and is expected to open in September, 2013. The new 7-storey building will have a total floorspace of 6700 sqm (72,092 sqft) and the land, which is owned by Hokkaido Prefecture, will be leased to the developers under a 70-year fixed term leasehold agreement.

The three developers (Hulic, Hokkaido JR Shoji and Kuribayashi) have formed a joint-venture to construct and manage the building. The total construction cost of 1.8 billion Yen (23.4 million USD) will be funded using private capital. After deducting the rent that they will pay for their office space, Hokkaido Prefecture is anticipating an annual income of 45,000,000 Yen (584,000 USD) in land rent.

Source:
The Hokkaido Shimbun, August 9, 2011.

Loading