Japan Real Estate Investment Reaches Record High, Foreign Capital Exceeds 1 Trillion Yen for First Time

In the first half of 2025, Japan's total real estate investment reached $21.3 billion, a year-on-year increase of 22%, hitting a record high. Among this, foreign capital accounted for 34%, exceeding 1 trillion yen for the first time.

Commercial office property investment reached 890 billion yen, a year-on-year increase of 43%. Office properties accounted for 50% of total investment, becoming the hottest investment category. Regional cities such as Osaka, Fukuoka, and Nagoya show strong growth potential.

Global institutional investors are increasing allocations to Japanese real estate. Asian investors, particularly Chinese and Singaporean capital, are active, and yen assets have become a global investment hotspot.

Total investment for 2025 is expected to continue growing. Competition for quality assets in core cities is intense, and investors are advised to focus on investment opportunities in regional cities.

Data source: Jones Lang LaSalle (JLL), livejapan.cn, bihainews.com