The Yokohama government is moving forward with the planning for the integrated resort there, which is set to provide a major boost for the economy and tourism in the area. Exciting times for Yokohama, and for the whole of Tokyo given Yokohama is on its doorstep.
This snapshot of the Japan hotel market by Savills Hotels highlights some of the interesting dynamics at play in the market. There is no shortage of hotels deals in the market at present, especially 2 to 3-star properties, however, few tick the important boxes - quality hardware, convenient location, scale (well over 100 keys), and a good operator. The properties with operators/brands that resonate with both domestic and international tourists and business people are set to be the out-performers over the coming years.
Excited to see that Heatherwick Studio is designing the public realm and retail areas for Mori Building's next major redevelopment, the Toranomon-Azabudai project, in central Tokyo. Projected to complete in 2023, I am sure it will be impressive.
It is worth talking note when the world's largest casino operator, and probably the most successful integrated resort operator in Asia, Las Vegas Sands, chooses to drop Osaka and focus its efforts on Tokyo and Yokohama. People are getting particularly excited about the potential impact of an integrated resort on real estate and the economy in Yokohama.
Interesting article by Nuveen’s Head of Research for APAC, Harry Tan. Outlines the strength of the economy despite some headwinds and the difficulty that many groups have in accessing higher quality deals in the Tokyo market, despite the market’s depth. The article also highlights logistics and multi-family residential as two focus assets classes for Nuveen. Tokyo is clearly a priority market for all the APAC core funds, and the outlook is generally positive for most asset classes.
Unnerved by US-China trade war and deterred by property prices at home, Hong Kong investors are turning to Japan for real estate
Article from the SCMP in Hong Kong. Given the current political situation in Hong Kong, investor interest in the major markets in Japan is likely to increase substantially over the coming years. Major beneficiaries are likely to be Tokyo and Osaka. Few markets in the region offer what Japan’s major cities do – freehold title, low interest rates, high quality construction and management, attractive demand/supply dynamics for well-located properties, and so on. Outlook for Tokyo and Osaka is generally positive as they are the industrial, commercial and financial centres of the Japan. There is also the Rugby World Cup this year, Olympics in 2020 in Tokyo, plans to develop integrated casino resorts in several locations across the country, and the 2025 World Expo to be held in Osaka.
Research report by the well-known hotel consultant, Bill Barnett, and his team at C9 Hotelworks. Niseko has been the hottest real estate market in Japan for the past decade, and probably the hottest new resort destination in APAC over the same period. The report highlights how the market is in the process of moving to a new level with upcoming projects like the Park Hyatt Hotel and Residences in Hanazono, Ritz Carlton Reserve in Niseko Village, Aman in Moiwa, and The Pavillions Resort in Hirafu, all set to open in the next few years. Summer traffic has also picked up substantially in recent years as the area slowly becomes a year-round destination for holidaymakers.