Studio Condo in Central Tokyo is the Lowest Yield in Japan
Net operating income (NOI) of studio condo in central Tokyo is the lowest, a research by Sanyu Appraisal reported.
A Tokyo-based appraisal firm cited a condo in central Tokyo with a following specification as a benchmark, and compared its NOI in Japan.
- Structure – Reinforced concrete
- Built in 5 years
- With an elevator
- 5 minutes walk from a station
- Size – 25SQM/unit
It turns out that secondary cities (Nagoya, Sappro, Sendai, Fukuoka, Kyoto) and a vicinity of Tokyo – (Saitama City, Chiba City) yields higher return with a range of 6.2-6.8%, while the central Tokyo (an area bounded by Japan Railway Yamanote Loop Line) yields 3.8%.
Albeit the rank – a studio condo in central Tokyo has a high demand and from a liquidity perspective, Tokyo is attractive.
|1.||Central Tokyo: Bounded by Yamanote Loop Line||4.8||5.0|
|2.||Tokyo 23 ward – excluding the area on 1.||5.3||5.4|
|Yokohama City / Kawasaki City||6.1||6.2|