Daiwa House Industry has launched an ultra-luxury home option to their lineup. The Wood Residence MARE is designed by their in-house ZIZAI DesignOffice team.
New home construction is on a downwards trend, according to the Ministry of Land, Infrastructure, Transport and Tourism (MLIT). New house starts in 2020 were 815,340, down 9.9% from 2019 and the fourth year in a row to see a decrease. Annual house starts are forecast to be 630,000 by 2030 and 410,000 by 2040.
Meanwhile, demand for luxury housing has seen a sharp uptick since the start of the coronavirus pandemic in 2020. Daiwa has seen a 20% increase in transactions of homes built for over 50 million Yen (US$458,000).
According to the Nomura Research Institute, in 2019 there were 1.327 million households in Japan with net financial assets over 100 million Yen. This is an increase of 60,000 households from a previous survey in 2017. A report by the Bank of Japan said the balance of personal financial assets as at the end of 2020 was 1,948 trillion Yen (US$17.8 trillion), up 2.9% from 2019 and the highest in history. Some of that may be due to soaring stock markets worldwide.
Daiwa’s own research has shown a change in the consumer mindset of wealthy home buyers. With ongoing state of emergency declarations, and limits on travel and dining, consumption has shifted from services, such as overseas holidays and fine dining, to luxury goods such as cars, watches and jewelry. Spending more time in the home has made some consumers pay more attention to customizing and personalizing their residence. When building a new home, they require a home builder that can accommodate these requests while providing a higher finish than standard houses.
The MARE series of wood-frame and reinforced-concrete homes will be available to be built in Tokyo, Saitama, Chiba, Kanagawa, Aichi, Osaka, Kyoto and Hyogo Prefectures. Standard pricing starts from 500,000 Yen/sqm and up.
The homes can be up to 3 floors above ground and one basement floor. Ceiling heights can be up to 4.1 meters, with spans between supporting beams of up to 10 meters, allowing for larger glass windows. The company is expected to receive orders for around 50 of these custom-built homes each year.
Source: Daiwa House Industry News Release, April 27, 2021.
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