Japan’s largest hotel to be built in Yokohama

Apa Hotel Resort Yokohama Bay Tower 1

APA Group will be developing a 37-storey hotel on a waterfront site in downtown Yokohama. With 2,400 guest rooms and a total floor area of 58,000 sqm, this hotel will have the highest room count in a single building in Japan.Read more

Luxury apartment boom in Kyoto fuelled by Tokyo buyers

Kyoto is seeing a renewed interest from wealthy buyers looking for luxury holiday homes. A number of high-end condominiums in central Kyoto have been selling out quickly due to demand from Tokyo residents. The historic city, which is an admired and world-renowned tourist destination, is additionally appealing as its real estate prices are relatively cheap when compared to Tokyo. Supply is also limited due to to various height restrictions and a shortage in available development sites.

The area inside Oike, Gojo, Kawaramachi and Horikawa Streets has seen the recent development of several luxury apartments.

Proud Kyoto Fuyacho Oike
Proud Kyoto Fuyacho Oike

Nomura Real Estate’s ‘Proud Kyoto Fuyacho Oike’ is currently under construction alongside Oike Dori Avenue and 200 meters from Kyoto City Hall. Apartments went on sale in December 2014 and the 43 units received 83 purchase applications (lucky buyers were selected from a raffle). The two, three and four bedroom apartments ranged in size from 67 ~ 104 sqm (721 ~ 1,119 sq ft) and were priced from 60 ~ 140 million Yen. 80 sqm apartments were priced in the 80 million Yen (670,000 USD) range. Apartments are scheduled for delivery from the end of March 2016.Read more

Tokyo apartment sales in February 2015

Tokyo apartment sales Feb 15

The following is a selection of apartments that were sold in central Tokyo during the month of February 2015:Read more

Land prices continue to rise - MLIT LOOK Report

According to the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) Chika LOOK Report for the fourth quarter of 2014 (October 1 ~  January 1), land prices increased in 83% of the surveyed locations across Japan. For the second quarter in a row, none of the locations saw a decline in land prices.

The Chika LOOK Report is a quarterly survey of land price movements of 150 commercial and residential locations across Japan. In the last quarter, 125 locations saw an increase, up from 124 locations in October 1, 2014. Two of those locations saw land prices rise 3 ~ 6% (the Toranomon area in Tokyo and the Ohori area in Fukuoka), while 25 locations saw no change in land prices.

In the greater Tokyo area, 90.8% of locations saw an increase in land prices, while 79.5% of locations in the greater Osaka area saw an increase.

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Home loan interest rates to rise in March

On February 25, the Bank of Tokyo-Mitsubishi UFJ announced plans to increase the prime interest rate on their 10-year fixed rate home loan by 0.1 points to 1.20% in March. This is the first time in five months to see an increase in the prime rate, although it still 0.15 points below their interest rate 12 months ago.Read more

Construction of Akasaka's latest high-rise to begin today

Taisei Corporation will begin construction of a 44-storey residential apartment tower in Akasaka 9 Chome from today.

The Akasaka 9 Chome North District Redevelopment is located on the northern side of Tokyo Midtown. The 4,656 sqm site was originally a densely packed neighbourhood of two and three-storey wooden homes, a kindergarten and small park.

The new apartment building will be 170m tall with 322 apartments and 44 floors. It will be taller than Akasaka Tower Residence (159m), Park Court Akasaka The Tower (157m) and Roppongi Hills Residence B Tower (156m).Read more

Malaysian pension fund makes first investment in Japan

In their first investment in Japan, Malaysia’s Employees Provident Fund (EPF) has acquired several logistics facilities in the greater Tokyo area. This is the first case of an Asian public pension fund investing in Japanese real estate.

EPF acquired five distribution centers in Saitama and Chiba from Mitsubishi Corporation for 14 billion Yen (117 million USD). Management has been entrusted to Diamond Realty Management, a subsidiary of Mitsubishi. The buildings are around 20 years old and attract lower rent than newer facilities, but are located in prime positions with strong tenant demand. Yields are expected to be around 10%, which is higher than the 4 ~ 5% offered by private REITS.Read more