The two sides of Tokyo's shrinking population
In the month of September, the population of Tokyo’s metropolitan area dropped by 10,673 residents. While that might paint a grim picture, the population is up 28,253 residents from the same time last year. Ultimately the numbers still aren’t convincing enough to show that telecommuting is causing a great exodus from the capital. Almost half of September’s decrease can be attributed to a large and ongoing outflow of foreign residents, which may also be a result of the lack of incoming foreign workers and students due to international travel bans.
Tokyo Apartment Sales in October 2020
The following is a selection of apartments that were reported to have sold in central Tokyo during the month of October 2020:
Luxury apartments in Yotsuya sell out
All apartments in a luxury project near Yotsuya Station sold out in the first round of sales held last month.
New apartment supply in first half of 2020 hits 47-year low
According to the Real Estate Economic Institute, the supply of new apartments across greater Tokyo in the first half of 2020 (counted from April to September) dropped below 10,000 units for the first time since record-keeping began in 1973. A total of 8,851 new apartments were released for sale, down 26.2% from the first half of 2019.
Secondhand apartment transactions in 3rd quarter reach 30-year high
According to REINS, the number of secondhand apartments reported to have sold across Greater Tokyo in the third quarter of 2020 reached the highest level seen since record-keeping began in 1990. A total of 9,537 apartments had sold between July and September, up 1.4% from the same period in 2019.
Canadian firm to invest US$9.5 billion in Japanese real estate
On October 12, the Nikkei newspaper reported that Canadian investment firm BentallGreenOak (BGO) plans to invest up to 1 trillion Yen (approx. US$9.5 billion) in Japanese real estate over the next two to three years. The company is anticipating that corporations will start selling off their office and hotel real estate holdings as the global pandemic continues, creating buying opportunities.
Tokyo Apartment rents hit ceiling
According to Tokyo Kantei, the average advertised monthly rent of a condominium in Tokyo’s 23 wards was 3,845 Yen/sqm in September 2020, down 0.4% from the previous month but up 4.6% from last year.