In a previous article, we mentioned at the relationship between rising land prices and redevelopment so this time we will look how condominium prices have changed in areas where land prices have risen due to redevelopment.
First, let us look at the locations where redevelopment took place in areas where land prices rose in 2020.
(From official land price data, Ministry of land, Infrastructure, Transport and Tourism)
Let’s take a look at some examples of condominiums that have been sold in the 19 Minato area of Minato-ku,Tokyo where the Takanawa gateway station was built.
It will not list the names of individual condominiums here but we looked at contract prices in the same condominiums from contract cases.
It can be seen that the unit price / ㎡ increased by about 36% between 2014 and 2021.
Let’s look back more retrospectively at redevelopment and condominium prices that have taken place in the past next.
The land price increase locations and factors in 2016.
(From official land price data, Ministry of land, Infrastructure, Transport and Tourism)
Let’s look at the rise in condominium prices in the surrounding area next.
Prices have increased by approximately 80% between 2011 and 2021.
It will not list the names of individual condominiums here.
【 Summary 】
Although condominium prices and official land prices do not necessarily coincide, looking at the characteristics of the market and regional factors, it can be said that rising land prices also have an impact on condominiums. We will consider a summary of redevelopment projects that will take place in the future in the next article.