Even in these bleak days, they seem to say profitable investment in Japan is possible…” Something to make expats, who mostly reside in Kanto and have been favoring condo investments in Tokyo, sit up and take notice. I had just received the highly anticipated but still grim news that the city’s land price surge in 2007 seemed to have exhausted itself. Greater Tokyo residential prices rose 1.6% from 9.9%. a year earlier, Osaka up 0.8% vs. 2.8% and Nagoya up 1.7% vs. 2.5% previously.(Downtown Yokohama residents still enjoyed some good news with increases of 8- 10% versus 2.6% for Yokohama as a whole).
The light in the darkness of Niseko comes at a time when there are a growing number of job losses in the international financial community in Tokyo, which has been hit by continuous market crashes. Some crisis refugees have already begun inquiring about jobs in Kutchan, via the Kutchannel website.
What is good for Niseko is generally good for southern Hokkaido and the rest of the island. Land prices are rising in a concentric circle that includes Kutchan, now Niseko, and we expect the Konbu bubble-onsen resort area in Rankoshi City to be next.
Australian tourists taking day trips from their Hirafu ski base have already generated investment in Furano. The developers are also marketing the Niseko properties to the growing influx of tourists from Taiwan, Korea, Singapore and Hong Kong. How long before they realize that these visitors are already going to other parts of Hokkaido as well? With large flows of Asian tourists and great deals on cheap land in other surrounding areas, where will be the next destination to experience the boom in Japan’s real estate market?