Strong corporate earnings fuel Japan's hunger for offices
Demand for new offices pulled up land values in Japan's largest cities, but the country is witnessing polarizing demand as rural areas that lack tourist attractions are left behind.
Strong earnings and work-style reforms have driven demand for more pleasant offices, especially in the Tokyo area -- a trend that encouraged Japanese and foreign investors alike to invest.
Asking rents for offices in the Tokyo wards of Chiyoda, Chuo, Minato, Shinjuku and Shibuya in May averaged 20,019 yen ($180) per 3.3 sq. meters, said real estate brokerage Miki Shoji, reaching 20,000 yen for the first time since July 2009 after climbing for 53 straight months.
The vacancy rate was 2.68%, far below the equilibrium rate of 5%. Existing tenants are expanding within their buildings when other companies move, allowing landlords to quickly fill vacancies.
Redeveloped offices are also filling up fast. The 31-story msb Tamachi Station Tower S developed by Mitsui Fudosan and Mitsubishi Estate opened in May and is already fully occupied, with companies like Mitsubishi Motors and FamilyMart UNY Holdings moving their headquarters to the building.
Land prices as of Jan. 1 surged in major cities like Kobe, whose Sannomiya Center Gai shopping street soared 22.5%. Property along Kyoto's bustling Shijo-dori jumped 21.2%, while real estate on Nagoya's Meieki-dori retail strip climbed 13.6%.
News On Japan - Nov 26
Panicked passengers on a Shinkansen bullet train were evacuated at a central Japan station on Friday night, after a plastic bag containing suspicious liquid was found onboard.
News On Japan - Nov 26
A 29-year-old man has been arrested for meeting an underage teen girl, with sexual intent, after sending her messages, promising to make her "the happiest in the world".
News On Japan - Nov 25
Inui Street, the famed autumn walk within the Imperial Palace in central Tokyo, opened to the public from Saturday.
News On Japan - Nov 25
Nissan Motor Corporation has announced plans to transition all its vehicles produced in the United Kingdom to electric vehicles (EVs).
News On Japan - Nov 25
A JR West Japan train conductor has been arrested for secretly filming eight women in the toilet of the express train "Haruka" while on duty.
News On Japan - Nov 25
Tofukuji Temple, home to 2,000 maple trees and renowned as one of Kyoto's premier autumn hotspots, features the Tsutenkyo Bridge, and the breathtaking 'sea of autumn leaves'.
News On Japan - Nov 25
The strongest cold snap of the season has brought a dramatic drop in temperatures to northern Japan, where snow began falling Friday morning, with up to 50 cm expected in Hokkaido and Tohoku by Saturday evening, and a chance of blizzards.
News On Japan - Nov 24
It's Shichi-Go-San, the Japanese festival season for celebrating the healthy growth of children, with Aibo the robot dog giving prayer at a shrine in Fukuoka, on Friday.
NHK - Nov 24
Japanese police are investigating a stabbing incident that took place at a music arena in Yokohama City, south of Tokyo, on Thursday.
News On Japan - Nov 24
The amount of undeclared income by wealthy people in Japan has reached a record high of 98 billion yen, among the worst offenders being scrap gold wholesalers, breeders and yakiniku restaurants, the National Tax Agency announced on Friday.
Total Film - Nov 24
After hitting the big screen in its native Japan on November 3, Godzilla Minus One is about to make its way overseas – and it's a hit with international critics.
NHK - Nov 24
Tokyo has a new landmark, a 330-meter-high skyscraper that opened on Friday. The Mori JP tower has 64 floors for shops, offices and residences. It's the tallest building in Japan, a title that previously belonged to the Abeno Harukas commercial and business tower in Osaka, western Japan.
theceomagazine.com - Nov 24
Shitennō-ji temple is one of Osaka’s most important Buddhist temples. Built in the sixth century during the rule of Prince Shotoku, it has stood firm as the high-rises of the modern-day city have towered above it.
News On Japan - Nov 23
As street dance reaches fever pitch in the lead up to the 2024 Paris Olympics with the inclusion of breakdancing, one of Japan's largest street dance events was held in Yoyogi Park, Shibuya, Tokyo.
News On Japan - Nov 23
Russians continue to be the worst offenders among cars with foreign diplomatic number plates when it comes to not paying off parking fines in Japan.
News On Japan - Nov 23
As Kyoto's autumn foliage reaches its peak, swarms of tourists have converged on the ancient capital, captivated by stunning displays like Wednesday evening's illumination at Kiyomizu Temple.