Tokyo's residential market continues to enjoy "solid fundamentals", according to the latest report from Savills.
The company's Residential Leasing Briefing Q4 2018 showed that all of the city's submarkets experienced some level of growth within the quarter, with the central 5 wards (C5W) recording a rising premium over the rest of the market.
Savills Head of Research and Consultancy Director Tetsuya Kaneko said the market was moving in a positive direction.
"Average rents are moving steadily upwards while C5W rents continue to stride ahead, widening their premium over the average as convenient locations prove the most popular,” he said.
Source: Savills Japan
According to the report, asking rents in C5W ended the year at JPY4,558 per sqare metres, up 0.7 per cent QoQ and 4 per cent YoY.
This represents a 19.1 per cent premium over average rents in Tokyo's 23 wards, marking the third consecutive year where a new high has been achieved.
The data showed apartments completed within the last four to five years have begun to see strong rental appreciation, with their rents approaching those of newer completions.
Of the other rising trends, co-living was identified as a growth area among the younger generation, but could be held back in Tokyo as a result of its "vast existing stock of compact living spaces
and its reliable, well-connected public transit network".
For more information about the report, phone or email Tetsuya Kaneko via the details below.
Click here to view the Residential Leasing Briefing Q4 2018
Source: Savills
Similar to this:
Tokyo mid-market residential rents achieve 12 month growth
Rents by unit size and occupancy rates
Mid-market rental trends by survey area
