March 21, 2014

KEITH KNUTSSON ON TOKYO’S REAL ESTATE MARKET

Posted in Uncategorized at 3:04 pm by Keith Knutsson

A shift is beginning to arise in Tokyo’s real estate market for international buyers. The last decades have not been the city’s best, but last fall 22 new condominiums were sold within the first day of sales at $2,219 per square foot. These was the highest prices seen in Japan since 2008. This price while average for high end real estate in cities like Singapore, New York, and London, is a good sign that the dark days of the Japanese real estate are drawing to an end for one of Asia’s most iconic cities. Among the reasons for the sudden bounce back are; the stimulus plan pursued by Prime Minister Shinzo Abe since December of 2012, and the prospect of Tokyo hosting the 2020 Summer Olympics. According to Real Estate Economic Institute Co., a Tokyo think tank, the average selling price for all types of condominiums in central Tokyo rose 10.8% in 2013 from a year earlier, even as the supply of new units surged by 46% to 28,340 (WSJ, Foreign Buyers Have a Yen for Tokyo Real Estate). To make condos more appealing to wealthy foreign investors, major renovations were done by Grosvenor and Paul Davis a New York interior designer. The new style is attracting many investors who are managing to bring up the market once again writes Keith Knutsson.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: