Nationwide land values increase for first time in 2 years

On March 22, the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) announced the official assessed land values (koji-chika) for 2022. Nationwide, the average land value across all land uses increased by 0.6%, recording the first increase in two years.

Once again, the residential sector outperformed the commercial sector, with the residential land value increasing by 0.5% and commercial land value up 0.4%. The contrast is more apparent when looking at the values in tourism-oriented and nightlife/bar districts.


Kitahiroshima City in Hokkaido had the highest percentage increases nationwide for both commercial and residential. Kitahiroshima is about 17km south-east of central Sapporo. The commercial land value grew by 19.6% and residential by 26%. 

The worst performer nationwide was Dotombori in Osaka which saw land values drop 15.5%. 8 of the 10 largest percentage decreases across Japan were located in Osaka’s Chuo district. 

The most expensive commercial survey site in Japan is the land under the Yamano Music Building in Ginza, Tokyo. This land was valued at 53,000,000 Yen/sqm in 2022, down 1.1% from last year. It is worth noting that the land value is still 96% higher than it was 10 years ago. While pedestrian traffic may be increasing, dining and entertainment customers are still below pre-covid levels. There is also a growing trend of people shopping locally in or close to their own neighborhood rather than making the trip to downtown Tokyo. 


Both central Tokyo and suburban areas have seen land values rise due to consistent demand from home buyers. Those who can afford to move closer to the city center are doing so, but competing with other buyers and dwindling inventory. Those who need extra space for a home office but cannot afford urban prices have been moving further out into the suburbs, driving up demand there as well. 


The land value under the Homat Royal luxury condominium in Akasaka has steadily increased for the past 9 years, with a 3.3% increase this year after a 2.5% increase last year. The land value has increased by 104.9% since 2012. This has been the most expensive residential land in Japan for the past five years. 

On a city / special ward basis, Tokyo’s Chiyoda ward has the most expensive residential land value in Japan’s three major centers, thanks largely to the wealthy Bancho neighborhood west of the Imperial Palace. Residential land in the Chiyoda ward was valued at 2,704,300 Yen/sqm in 2022.


Ebisu topped the rankings in Tokyo with the highest percentage growth of residential land. The land value at the Ebisu-Nishi 2-20-7 address increased by 5.9% from last year. This is the site of the Brillia Daikanyama Prestige condominium and about a block behind Daikanyama Station. This is an upscale, low-rise residential neighborhood in the very center of Tokyo, and highly sought-after by residents. 

The most expensive residential land in Japan

Surprisingly (or perhaps not to locals), Shirokanedai is home to the 3rd most expensive residential land in Japan, exceeding that of Minamiazabu, due to a highly valued residential site alongside a major street. The Shirokane neighborhood is just south of Minamiazabu, and is highly regarded as a wealthy and quiet residential neighborhood.

Survey SitePrice/sqm% change in 2022% change in 2021
[1]Akasaka 1-14-11 (Minato)5,000,000 Yen/sqm+3.31%+2.54%
[2]Rokubancho 6-1 (Chiyoda)4,150,000 Yen/sqm+2.47%0%
[3]Shirokanedai 3-16-10 (Minato)3,880,000 Yen/sqm+1.84%0%
[4]Minamiazabu 4-9-34 (Minato)3,650,000 Yen/sqm+2.24%+2.00%
[5]Minamiazabu 1-5-11 (Minato)3,250,000 Yen/sqm)+2.52%0%

About the koji-chika assessed land values:

The koji-chika assessed land values are provided for over 25,000 survey sites across Japan and based on a survey date of January 1 each year. Data is released annually each March. Land values are based on land transactions and acquisitions of public utility sites and may differ from actual market values. They should be used to provide a general guide to movements in land values, but should not be considered the true market price of real estate. In more urban centers, actual transaction prices exceed government values (sometimes by a large margin), and movements in market prices can often far exceed those of government values.

Source: MLIT, March 22, 2022.

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