Prices down, yields up in Nakagin Capsule Tower
Prices of 'capsules' in the Nakagin Capsule Tower have fallen significantly over the past four years, but rents have remained relatively stable, leading to a boost in rental returns.
In 2008, capsules were priced as high as 6 million Yen each. Now they can be bought for between 2 and 3 million Yen (21,000 ~ 32,000 USD) each. The average monthly maintenance, repair fund and land rent fees (the building is on leasehold land) totals approximately 17,300 Yen for each unit.Read more
Nationwide land price declines shrink in 2012
On September 20, the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) announced the results of the nationwide survey of land prices (chika-chosa). The average residential land price fell 2.5% (compared with a 3.2% fall in 2011), and the average commercial land price fell 3.1% (compared with a 4.0% fall in 2011). The rate of decline was smaller than normal this year, indicating that the market is heading towards a recovery. However, this is the 21st year of continual decreases in residential land prices, and the 5th year of continual decreases in commercial land prices.Read more
Original Nikko Kanaya Hotel and Samurai House Foreclosed
*Update: The property sold to a private buyer for 33,000,000 Yen. They were the only bidder. It was then carefully restored, and registered as a Tangible Cultural Property in 2014. From 2015 onwards it has been open to the public.
The original 350+ year old Nikko Kanaya Hotel has been foreclosed on and is up for auction with a minimum bid set at 25 million Yen (320,000 USD). The house was originally built as a samurai residence in the Kan'ei era (1624-1644). At the beginning of the Meiji era, James Curtis Hepburn, a Christian missionary who created the Hepburn romanization system for Japanese, stayed at the home, which was then the residence of Zenichiro Kanaya. Mr. Hepburn suggested that the owner use his home as an inn for foreigners. The house soon became a popular spot for foreign guests and became known as "Kanaya Cottage Inn" and was later re-named "Kanaya Hotel."Read more
Nishiazabu condominium to offer Mercedes Benz car sharing
On September 4, Mitsubishi Jisho Residence launched the sales gallery for The Parkhouse Nishiazabu Residence condominium. The developer is promoting, in collaboration with Mercedes Benz, a new service for residents of the building called "Premium Owner's Support." This includes car sharing and chauffeur services and is said to be a first in the industry.Read more
Tokyo Office Vacancy Rates for August
According to Miki Shoji, the commercial vacancy rates in Tokyo's central 5 wards (Chiyoda, Chuo, Minato, Shinjuku and Shibuya) in August dropped 0.13 points from the previous month to 9.17%. The vacancy rate on brand new buildings dropped 3.48 points to 30.16%.
In Shinjuku-ku, the vacancy rate dropped 1.05 points to 10.85%, as large foreign financial corporations began to consolidate their various offices into one space. In Minato-ku, the rate increased by 0.48% to 10.10%. This was partly due to the completion of Ark Hills Sengokuyama Mori Tower. The 47 storey tower has a total floorspace of 43,423 tsubo (143,296 sqm).Read more