Average apartment rent in August 2016
According to Tokyo Kantei, the average monthly rent of a condominium in greater Tokyo was 2,661 Yen/sqm in August, up 0.3% from the previous month and up 2.7% from last year. The average apartment size was 60.26 sqm and the average building age was 19.7 years.
In the Tokyo metropolitan area, the average monthly rent was 3,223 Yen/sqm, up 2.5% from the previous month and up 1.4% from last year. In the Tokyo metropolitan area, the average apartment age decreased from 18.3 years to 17.6 years, which contributed to the increase in the average rent from the previous month. The average apartment size was 57.73 sqm.Read more
New apartment supply in Tokyo down for 9th month
According to the Real Estate Economic Institute, 1,966 new apartments were released for sale in greater Tokyo in August, down 40.7% from the previous month and down 24.7% from last year. This is the 9th month in a row to see a year-on-year decline in supply.
1,310 apartments were sold, resulting in a contract ratio of 66.6%, up 3.3 points from the previous month but down 7.7 points from last year. 435 apartments in high-rise buildings (over 20-storeys) were released for sale, down 1.6% from last year. The contract ratio was 73.1%, down 12.2 points from last year.
The average price of a new apartment across greater Tokyo was 56,620,000 Yen, up 0.1% from the previous month but down 3.6% from last year. The average price per square meter was 798,000 Yen, down 1.0% from the previous month and down 3.2% from last year.Read more
Abandoned Maya Hotel may soon be open to the public
Closed and off-limits to the public for the past 23 years, the overgrown and abandoned Maya Kanko Hotel overlooking Kobe City may soon be accessible on guided tours. Local groups have obtained permission from the property owner and are in the process of preparing hiking trips.
The art deco hotel was built atop Mt. Maya in 1929 by the Maya Cablecar Company. It was originally called Maya Club and was developed in conjunction with the company’s cable car line. The four-storey hotel offered sweeping views over the city and bay below.Read more
Declining yields sought by investors are pushing up property prices
In late 2013, Masayoshi Son, CEO of SoftBank, purchased the Kengo Kuma-designed Tiffany Ginza Building for 32 billion Yen, resulting in a cap rate of just 2.6%. This sale arguably triggered the onset of lower cap rates. Back in 2006, Japan’s REITs had expected returns in the 2% range. They had increased to the 4% range by early 2013, but are now back to the 2 ~ 3% range.Read more
Tokyo metro apartment prices increase for 47th consecutive month
According to REINS, 2,384 second-hand apartments were sold across greater Tokyo in August, down 25.3% from the previous month and down 1.3% from last year. The average sale price was 30,090,000 Yen, up 0.4% from the previous month and up 6.3% from last year. The average price per square meter was 476,900 Yen, up 0.8% from the previous month and up 6.4% from last year. This is the 44th month in a row to see a year-on-year increase in the sale price per square meter. The average building age was 20.26 years.
In the Tokyo metropolitan area, 1,200 second-hand apartments were sold, down 24.6% from the previous month but up 1.3% from last year. This is the fifth month in a row where transactions have exceeded those from 12 months prior. The average sale price was 37,480,000 Yen, up 0.03% from the previous month and up 7.0% from last year. The average price per square meter was 637,000 Yen, up 0.3% from the previous month and up 5.8% from last year. This is the 47th month in a row to see a year-on-year increase in the sale price per square meter. The average building age was 18.97 years.
Central Tokyo’s 3 wards
In central Tokyo’s 3 wards (Chiyoda, Chuo and Minato), 134 second-hand apartments were sold, down 34.6% from the previous month and down 5.6% from last year. The average sale price was 53,690,000 Yen, down 0.6% from the previous month but up 3.9% from last year. The average sale price per square meter was 1,055,700 Yen, up 4.5% from the previous month and up 3.7% from last year. The average building age was 17.29 years.
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Kyoto may relax local hotel laws
On August 31, Kyoto City released a draft plan for potentially relaxing hotel laws in the city. With record tourist numbers, the city is anticipating a need for 6,000 additional beds by 2020. If approved, the relaxed rules could possibly allow hotels in zones where they were previously prohibited, provided strict obligations are met.
In 2015, the city welcomed 3.16 million foreign tourists to its hotels and is expecting this number to reach 4.4 million in 2020. To cater to the increase in both foreign and domestic visitors, 10,000 beds would be required. Hotels with 4,000 beds are already planned or under construction in the city.Read more
Details on Shinagawa’s new station revealed
On September 6, JR-EAST released details on the new train station planned for the JR-owned site between Shinagawa and Tamachi Stations in Tokyo. The station building has been designed by Kengo Kuma and will include an open atrium, origami-style roof and wood pillars.
Discussions about a new station in this area have been ongoing since the early 2000s. The station site is located on rail yards about 900 meters north of Shinagawa Station and 300 meters from Sengakuji Station.Read more