The average price of a brand-new apartment released for sale across greater Tokyo reached a record 143.6 million Yen (US$1.07 million) in March, according to the Real Estate Economic Institute. That is largely due to two luxury condos that went on sale in central Tokyo.
One of those was Mita Garden Hills in Azabujuban where approximately 400 apartments went on sale and sold out immediately. The average price was in the 400 million Yen (US$3 million) range. The second condo was World Tower Residence in Hamamatsucho where all 169 apartments on offer sold out. The average apartment price was 250 million Yen (US$1.86 million). A 121m2 (1,300 sq.ft) penthouse in this high-rise goes for around 1 billion Yen (US$7.44 million), or around 8.26 million Yen/m2 (US$5,700/sq.ft). There was an average of 4.8 purchase applications made per apartment, with the most popular apartment receiving 81 applications.
Thanks to these two projects, the average apartment price in Tokyo’s 23 wards jumped by 173.7% from last year to 217.5 million Yen, while the average price per square meter increased by 119.3% to 2,840,000 Yen. The contract ratio was 84.5%, well above the 70% line said to indicate healthy market conditions. The contract ratio for apartments priced above 200 million Yen was 99.6%.
For the 2022 fiscal year from April 2022 to March 2023, the average new apartment price across greater Tokyo was 69,070,000 Yen, up 8.6% from the previous year. In Tokyo’s 23 wards the average price was 98,990,000 Yen, up 17.2% from the previous year. A total of 28,632 apartments were supplied, down 12.9% from 2021 and the first time since 2019 to see supply drop below 30,000 units.
Although unit pricing in Tokyo’s 23 wards reached a record high, the average price per square meter of 1,500,000 Yen was still slightly below the record of 1,510,000 Yen seen in 1991.
Source: The Real Estate Economic Institute, April 18, 2023.
