Even in these dark days, they seem to say, profitable investment is possible in Japan…”. Something to make expats, who are mostly based in Kanto and have been favoring investments in Tokyo condominiums, sit up and take notice. They had just received the widely expected but still gloomy news that a 2007 spurt in city land prices looked to have petered out. Greater Tokyo residential prices rose 1.6% against 9.9% the year before, Osaka 0.8% from 2.8% and Nagoya was 1.7% from 2.5% previously. (Central Yokohama residents still enjoyed some good news with rises of 8-10% against 2.6% for Yokohama as a whole).
Niseko’s light in the dark comes at a time when there are a growing number of job losses in Tokyo’s international financial community which has been battered by ongoing market meltdowns. Some refugees from the crisis have already started making enquiries about jobs in Kutchan, via the Kutchannel web site.
What’s good for Niseko is generally good for southern Hokkaido and the rest of the island. Land prices are rising in a concentric circle taking in Kutchan, now Niseko and we expect that the bubble onsen resort area of Konbu in Rankoshi town will be next.
Australian tourists making day trips from their ski-home base of Hirafu have already sparked investment in Furano. Developers are also marketing Niseko properties to the growing inflows of tourists from Taiwan, Korea, Singapore and Hong Kong. How long before they realise that these visitors are already going to other parts of Hokkaido too? With large flows of Asian tourists and large supplies of cheap land in other surrounding areas, where will be the next destination be to experience the boom in the Japan real estate market?