Foreign investors return to Japan's property market
According to the Mainichi Shimbun, Foreign investors and foreign capital investment corporations are showing enthusiasm for Japan's real estate market. European and American property and investment companies are continuing to purchase residential and commercial buildings, while a major US bank has set forth on establishing a REIT in Japan.
The background to this renewed vigor is the outflow of funds in Europe due to the European debt crisis, and a general feeling that the real estate market in Japan has bottomed out. Experts are anticipating that the long-stagnating real estate market is finally reaching a turning point.Read more
June office vacancy rates hit new high
Miki Shoji announced the results from their survey on office vacancy rates for the month of June 2012. In central Tokyo's 5 wards (Chiyoda, Chuo, Minato, Shinjuku and Shibuya), the average vacancy rate increased by 0.03 points from May to 9.43%. This is the third month of continuous increases. June's vacancy rate is at a record high level, beating the record set in May.Read more
Tokyo's office construction boom and it's repercussions
The construction of new office buildings in central Tokyo is steadily progressing. In January, Mitsubishi Jisho's Marunouchi Eiraku Building was completed. In Spring, JP Tower and the Palace Building were completed, and Otemachi Financial City will be completed in fall.
According to the Urban Research Institute Corporation, the total supply of commercial office space in 2012 will reach 2,680,000 sqm (28,836,800 sqft). This is close to the past decade's peak of 2,980,000 sqm in 2003. A quarter of the office supply is located in the Marunouchi area on the western side of Tokyo Station.Read more
Office vacancy rates down for second month
According to Miki Shoji, office building vacancy rates in Tokyo's central 5 wards (Chiyoda, Chuo, Minato, Shinjuku, and Shibuya) fell 0.11 points at the end of March to 9.04%. This is the second continuous month where vacancy rates have fallen. However, the lower vacancy rates are not a sign of a market recovery but are due to falling office rents.Read more
Office vacancy rates fall slightly
According to Miki Shoji, the average vacancy rate for office buildings in Tokyo's five central wards fell to 9.15% in February 2012 (down 0.08 points from January).Read more
Tokyo office market showing further signs of slowing
The central Tokyo office building market is stagnating. At the end of November, the office vacancy rate for Tokyo's central 5 wards (Chiyoda, Chuo, Minato, Shinjuku and Shibuya) reached 8.90%. This is the second continuous month with an increase in vacancy rates and the first time since April, 2011, that rates had reached this level. Meanwhile, the average office rent for central Tokyo has declined for the 39th continuous month.
With the Euro crisis and strong Yen, there is a deceleration in demand from tenants with many companies being more prudent and delaying moving. The demand for buildings with high disaster preparedness and earthquake resistance has slowed.Read more
Office vacancy rates and vacant floorspace down in August
Sanko Estate released their "Office Market" data report for high-rise office buildings with a floor plate of 660sqm or higher in Tokyo's central 5 wards (Chiyoda, Chuo, Minato, Shinjuku and Shibuya) for the month of August, 2011. According to their data, the vacancy rate for August was 5.66% - down 0.45% from July.Read more