Nationwide land prices rose for the fifth year in a row this year, but hard-hitting effects of the novel coronavirus could put a swift end to Japan’s real estate recovery.
According to the Ministry of Land, Infrastructure, Transport and Tourism (MLIT), the nationwide ‘chika-koji’ assessed land price saw a 1.4% increase in 2020. This was a 0.2 point improvement from 2019’s 1.2% increase.
Residential land prices nationwide saw a 0.8% increase. This was the third year in a row to see positive growth. The three major cities saw 1.1% growth, while Tokyo’s 23 wards saw 4.6% growth.
Akasaka home to most expensive residential land for 3rd year running
The most expensive residential land in Japan was the survey site under the Homat Royal condominium in Akasaka, Tokyo. This site is across the street from the Hotel Okura South Wing and just up the street from the US Embassy. The assessed land price in 2020 reached 4,720,000 Yen per square meter (approx. US$4,070 per square foot), up 8.8% from 2019.
Akasaka has taken the crown as the most desirable address for wealthy apartment buyers, with its proximity to the major redevelopments around the Toranomon District and the business district in Roppongi a major appeal for executives looking to live closer to work.
The nationwide average commercial land price rose by 3.1% in 2020 after seeing 2.8% growth in 2019. This was the fifth year in a row to see an increase. Japan’s three major cities of Tokyo, Osaka and Nagoya saw a 5.4% increase in commercial land …continue reading