Real estate investment appetite returns to pre-pandemic levels
Corporations in Japan are now taking a different approach to their real estate investment activities. Immediately following the initial shock of the pandemic there was a sudden move toward selling off key assets in order to prop up business sheets. Now that the pandemic is subsiding and business is returning to usual, corporations are back to seeking efficient real estate assets that provide stable revenue and allow for diversification out of traditional revenue streams.
Osaka Marubiru to be demolished
The circular Osaka Marubiru office tower in Umeda will be redeveloped, with construction set to start next year.
Yokohama now home to Japan's tallest all-wooden building
Japan’s tallest all-wooden building reached completion in Yokohama in March after two years of construction.
16% increase in supply of new apartments in April
The supply of brand new apartments released for sale across greater Tokyo in April increased by 16.1% y-o-y to 2,426 units. The increase was largely due to a new round of sales in Harumi Flag, the former Athletes Village on Tokyo Bay.
Safer housing reduces worst-case earthquake scenario in Tokyo by 30 ~ 40%
Improvements in housing in Tokyo have reduced the expected level of damage from a severe earthquake by around 30 ~ 40%. On May 25, the Tokyo Metropolitan Government released an updated report on a ‘worse case scenario’ earthquake. This is the first update in 10 years.
Roppongi Itchome apartments have seen a 17.08% annual return over past decade
The area around Roppongi Itchome Station in central Tokyo provided the highest annual average return on apartments over the past 10 years, according to Tokyo Kantei. The annual yield (rental income + capital appreciation) between 2011 and 2021 has averaged 17.08%, thanks largely to some impressive growth in property values.
Tokyo cancels refurbishment of Children’s Castle
On May 9, the Tokyo Metropolitan Government announced the cancellation of a planned refurbishment of the National Children’s Castle property in Omotesando. The property will continue to be used as an oxygen and medical care station for coronavirus patients.
The popular arts and entertainment complex closed in 2015. It was sold by the national government to Tokyo in 2019 for approximately 52 billion Yen.