According to the latest data released by Tokyo Kantei, the average list price of a second-hand apartment in Sendai City in the first quarter of 2013 is 35.5% higher than in early 2011.

Prior to the Tohoku disaster, average apartment prices had dropped to 565,000 Yen per Tsubo* (171,200 Yen/sqm). Following the disaster, prices have since risen to 766,000 Yen per Tsubo (232,100 Yen/sqm).

In comparison, the average apartment price in Tokyo’s 23-ku in early 2013 was 1,862,000 Yen per Tsubo (564,200 Yen/sqm), 7.6% below its 2011 peak of 2,015,000 Yen per Tsubo (610,600 Yen/sqm).

The increase in asking prices in Sendai is due to the growing demand for apartments built to the latest earthquake codes and an increasingly limited supply. Prices of second-hand apartments built to the latest codes (shin-taishin) that were introduced in 1981, were up 32.5% from 2011, while apartments built to the older codes existing pre-1981 (kyu-taishin) were up 19.9%. The reason for the increase in even the older apartments is because reinforced concrete buildings are perceived to be more earthquake resistant that wooden houses.

In the two years prior to the 2011 earthquake, 27 brand new condominiums were developed in Sendai City. Of those, only 8 were built with either base isolation (menshin) or vibration control (seishin) earthquake resistant construction. In the two years following the earthquake, another 27 condominiums have been completed, of which 14 were built with these methods of construction.

A survey of condominiums in Miyagi Prefecture found that 29 of the 33 built with base isolation suffered no damage in the earthquake, while none of 3 built with vibration control suffered any damage. 

*1 Tsubo = approximately 3.3 square meters.

Sources:
Shukan Jutaku Shimbun, May 8, 2013.
Tokyo Kantei (PDF)

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