• 2021.03.08
• Investment target
• Japan property
• Japan Property Investment
• Tokyo 3 Wards
• Tokyo central

Japan Property Tokyo Central 3 Wards Investment Target

Tokyo Central 3 wards as investment target

Hello! Again!
My name is Masaki Tanzawa, and I am a licensed property management professional in Japan.
Since last month, I am telling you about Japanese Property Market and Investment environment. And more I am talking at a webinar about a business manager visa (formally investor visa) in Japan.

Last time I said that Tokyo is a desirable place as an investment target. And I was telling why it is so.
This time I will proceed to focus on further targets. That is Tokyo 3 Wards, Chiyoda, Chuo and Minato.
I tell you why Tokyo Central 3 Wards are outstandingly superior to other areas in Tokyo in terms of property investment value.
First, where are the 3 wards located?

Tokyo Central 3 Wards are located in the south-east part of the entire Tokyo and near the bay-area.
Tokyo Central 3 wards occupy only 3.5% of the 23 wards in terms of area.

 

Tokyo Central 3 Wards shows a rise of working-age population

From: Tokyo Metropolitan Government Bureau of General Affairs Department of Statistics
As the above graph shows, the population and population density of 3 wards is not high among 23 wards of Tokyo.
But in the 3 wards of central Tokyo, the headquarters of governments, financial institutions, and large corporations are concentrated, and of course it is the center of the Japanese economy.
So the working-age population (15-64 years old) in the 3 wards is increasing by more than 10%. In the 23 wards forecast, the central 3 wards have the highest increase index. The 3 wards only is forecasted increase index more than 10%.

 

Tokyo Central 3 Wards high rent from the luxury ambience

It is also known as an upscale residential area with many residences.
In general, just having a property in this area is an image that raises the social status. As a matter of fact, the rent average is higher than others.

Made from data: Reins Market Information

And also there are many embassies in this region  (especially Minato Ward), and there are many overseas businessmen to reside.
It also creates a luxury and stylish ambience in the area.

 

Tokyo Central 3 Wards high value from the safe and security

From: Tokyo Metropolitan Government Bureau of General Affairs Department of Statistics

If you look at the table above, you can know that these 3 areas are safer and secure than other areas in Tokyo. It is assured as you all know that Tokyo is one of the safest cities in the world.
 

Tokyo Central 3 Wards high value because of good location

The location does not refer only to the closeness from the station. It also includes the distance from where you live to where you need to live, such as the distance to the supermarket and hospital. In addition, the fact that commuting in a short time is a major factor in terms of location. If you are in the three wards of the city center, it is a big factor that the location is good because there are railways and public transportation within a 10-minute walk at any location.

 

Tokyo 3 wards high value even if get old due to high demand 

Any newly built property will deteriorate over time. If the property is not convenient, it is inevitable that demand will decline as the age of the property has elapsed.
However, if the property is located in the “Tokyo Central 3 Wards”, the possibility is low that demand will go down even if it gets old.
In the 3 wards, it can be said that the needs will continue over the long term.
Because there are many people who want to live there even if the rent is expensive, so there is a high possibility that the monthly rent can be set high. And the rental is expected to be high even after the years have passed. ( As you see it in the above )
Further to say, the possibility of vacancy risk is low compared to other areas because of this high demand, and it will not change in the future as the working-age population will increase over the next 20 years or more. ( As you see it in the above )

 

Tokyo 3 wards high investment value maintained 

By the above it leads to maintaining high value of property even if high price and a little too luxurious ambience.
Therefore a stable property management is anticipated in the area, and efficient asset management can be done.

Next time I will touch on the topic of return in property investment in Tokyo.
Please refer to our website for further information.  Please feel free to contact me by email below.

AER WORLD CO., LTD. 

Address: Keio Shinjuku Bldg. 7F, 3-2-1, Shinjuku, Shinjuku-ku, Tokyo 〒160-0022

Contact Person: Masaki Tanzawa

email:  tanzawa@ablife.jp

Website: https://www.investorvisa.jp/investorvisa/japan/