Official Average Roadside Land Prices of Tokyo 2019

Poste date: Monday, July 15, 2019

On July 1st, the National Tax Agency released its annual average roadside land prices for 2019 (calculated from January 1st). The national average for the average roadside land price has risen by 1.3% since the previous year making the 4th consecutive year it has risen. The prefectural average for this year shows that out of 47 prefectures, 19 (including Tokyo, Osaka, and Aichi) have experienced a rise in price far above that of the previous year (18 prefectures in 2018).

It has been observed that this trend is mostly due to the increase in lodging and residential demands which are pushing up the land price in metropolitan districts. Some areas are experiencing an increase in land prices due to domestic and overseas investment money for hotel development in some local areas that attract many foreign travelers. This coupled with elderly people going back to city areas for the convenience of living is increasing residential demands in city areas nationwide causing land prices to rise. In contrast there are other areas that are experiencing the opposite effect (downward trend) in their average land prices. Tokyo has seen an increase of 4.9% (4.0% in 2018) in its prefectural average price marking this year as the 6th consecutive year the price has increased.

When comparing the nationwide fluctuation of the prefectural land price average, Okinawa’s increase of 8.3% (5.0% in 2018) was the largest increase over the previous year, followed by Tokyo with an increase of 4.9% (4.0% in 2018) and Miyagi with an increase of 4.4% (3.7% in 2018). Okinawa’s average land price increase is in part due to its growing demand for hotels and resort developments. In Tokyo, the highest roadside land price has risen in 46 out of the total 48 neighborhoods that are covered by a local tax office.

While increase in foreign visitors and continuous concentration of population and industry in the Tokyo Metropolitan area has helped Central Tokyo maintain its land prices, the rising of land price is spreading to the areas in the suburban wards that are convenient for living and transportation such as Asakusa, which is showing Tokyo’s highest land price increase of 35% from 2018. Following Asakusa are Adachi and Koto Higashi with an increase of about 20% from the previous year.

For the past 34 consecutive years, the land in front of “Kyukyodo” on Ginza Chuo-Dori Street in Chuo ward has had the highest roadside land price in Tokyo. This year the land space in front of “Kyukyodo” was priced at 45,600,000Yen per square meter, which is 2.9% increase from the previous year (9.9% increase in 2018). This is the 3rd consecutive year that the price per square meter of land has risen above the previous record of 3,650,000Yen (in 1992 during the bubble economy).

The rate at which the land prices in Central Tokyo have been inflating has slowed down mostly due to the completion of large-scale redevelopment projects such as those in Ginza. At the same time suburban areas such as Asakusa, Kita-Senju in Adachi-ku are showing the highest land price increases in Tokyo. Continuous increases in the land price can still be seen in Shinjuku, Shibuya, and Aoyama. Many places throughout Tokyo, especially in Central Tokyo, are experiencing a decrease in the rate of land price inflation when compared with the previous year.

It has been observed that the recent shrinking of investment money is responsible for much of the slowing down in land price rises. According to Urban Research Institute Corporation, a private research institute specializing in real estate, the amount of real estate transactions in 2018 was approximately 3,600 billion yen, which means the land prices are declining toward a level of less than 4,000 billion yen for the first time in six years (since 2012). Another market observation shows that investment willingness does not decline although the investors are more conscious about overheating the real estate price and there is a shortage of target properties for investment. While the increase rate of the land price in front of “Kyukyodo” on Ginza Chuo-Dori Street in Chuo ward is declining from a 9.9% increase in 2018 (from 2017) to a 2.9% increase in 2019 (from 2018), the land price at the exact location has been continuously ranked as having the highest land price in Japan for the past 3 consectutive years. It is said among real estate marketers that Ginza is a special area which has extraordinary power to attract new investors.

One major real estate service company foresees that real estate market demands in Tokyo will continue steadily for a certain period of time after the Tokyo Olympic Games in 2020. This is mostly due to the recent improvements made in Tokyo’s infrastructure and Tokyo’s popularity as a place for investment, which has been going up in preparation for and due to the advertisement of the 2020 Olympic Games. This prediction is partly due to data showing that leased real estate property rent does not decline after the Olympic games in the developed countries where the Olympic games were held in the past.

Highest Roadside Value in major Tokyo tax office in 2019

(Per square meter per 1000Yen, the rate rise in % shown in parentheses, in order by tax office)

Local tax office Roadside Name Roadside Value
1. Kyobashi 5-Chome, Ginza, Chuo-Ward
Ginza Chuo-Dori Street
2. Shinjuku 3-Chome, Shinjuku, Shinjuku-Ward
Shinjuku-Dori Street
3. Yotsuya 3-Chome, Shinjuku, Shinjuku-Ward
Shinjuku-Dori Street
4. Shibuya Udagawa-cho, Shibuya-Ward
Shibuya Station Side Dori Street
5. Kojimachi 2-chome, Marunouchi, Chiyoda-Ward
Daimyoukouji Street
6. Nihonbashi 1-Chome, Yaesu, Chuo-Ward
Sotobori-Dori Street
7. Azabu 3-Chome, Kita-Aoyama, Minato-Ward
Aoyama-Dori Street
8. Shiba 2-Chome, Shimbashi, Minato-Ward
Shimbashi Station West-exit Square Dori Street
9. Toshima 1-Chome, Higashi-Ikebukuro
Toshima-Ward Green-Odori Steet
10. Tokyo, Ueno 4-Chome, Ueno, Taito-Ward
Chuo-Dori Street

(Source: 2019/07/02 NIKKEI Newspaper and Tokyo Shimbun)

What is Average roadside land price?

The standard price of land per square meter facing major streets as of January 1- released by the National Tax Agency. The price is used as a standard for calculating inheritance taxes and gift taxes in Japan. The number of locations assessed for the Average roadside land price is greater than those for the standard land price that is announced by the Ministry of Land, Infrastructure, Transport and Tourism. The average roadside land price also provides a more detailed picture of the actual market land prices. The average roadside land price is generally about 80% of the standard land price and is calculated using actual business transactions.

Real estate pricing in Japan - 6 different land prices

Exterior of Minami-azabu 3-chome House
Sale Property tag

It is located on the hill top in 3-chome, Minami-Azabu, having lush greenery of nearby Arisugawanomiya Memorial Park and Azabu Undojo, and various cultural facilities close by including Tokyo Metropolitan Central Library. The embassies of various countries, international schools, and international stores including National Azabu Supermarket are dotted in the neighborhood providing an exotic atmosphere. The land is a corner location facing south-west and north-west, having plenty of sunlight. It is belong to the area which is designated as Neighborhood commercial zone of Land Use Zones (allowed for Maximum building coverage ratio of 80%, Maximum floor-area ratio of 300%). There is an existing old house built in the land, but you can have your favorite building plan on it.


Exterior of Park Court Azabujuban the Tower
Sale Property tag

It is one of the Park Court branded luxury condominium apartments sold by Mitsui Fudosan Residential Co.,Ltd. Completed by Taisei Corporation. It is surrounded by busy and active Roppongi area, urban constructions such as Tokyo Tower and Tokyo Midtown, and rich nature of Arisugawa-no-miya Memorial Park within a walking distance. Hotel-like front desk services and common facilities such as guest rooms and various lounges are attractive. The dwelling units are mostly from 1LDK to 3LDK having 440 units in total. There are many embassies in the neighborhood giving very international atmosphere to the area. Azabujuban Shopping Street, where many old and modern stores are coexisting along sophisticated townscape, is within a living area. Supermarkets are close and support everyday life in the area. The refined locality and nicely designed facility give it the impression of Mansion House beyond the ordinary condo image making high quality urban life possible.

JPY 148,500,000

Sale Property tag

The property is a condominium apartment on a hilltop very close to "the Iikura-Katamachi intersection"; which is in a four min. walk from the Roppongi intersection. It is located higher than Tokyo Midtown and Izumi Garden so that it gets outstanding open view including Tokyo Tower. It offers flexible floor plans that can be adapted to changes of life stage from single persons' use to family use. The interior design is simple and elegant. It offers high quality living space where anyone can live comfortably.

JPY 109,800,000

Exterior of Nissin Palestage Nishi-azabu
Sale Property tag

Close to the Nishi-Azabu intersection. Roppongi and Hiroo areas are within daily living range.

JPY 35,900,000 - 60,800,000

Exterior of Glarsa Nishi-azabu
Sale Property tag

High-standard condominium apartment. A 24h security system is in place. Both Roppongi Hills and Hiroo are within walking distance.

JPY 104,800,000

Exterior of Imperial Roppongi 1
Sale Property tag

It is a white tiled vintage condominium with 11 floors located facing Gaien-Higashi Dori Street close to Roppongi 5-chome Crossing. 5 min walk to Roppongi Station and within walking distance to Roppongi-itchome and Azabujuban Station. The area is located in the center of Roppongi commercial and entertainment district close to Roppongi Hills and Tokyo Midtown with full of convenience for living attracting many supermarkets, convenience stores, and restaurants . Unit room is mostly 1R-1LDK with various functional equipments and also negotiable for use of SOHO. Solid security includes auto-lock entrance door, security cameras. You can enjoy the life in Roppongi in the attractive location, one of the most populer areas in Central Tokyo.

JPY 33,000,000