MarketView | JAPAN RETAIL | Q4 2023
MARKETVIEW | JAPAN RETAIL | Q4 2023
Vacancies filled amid robust demand; high street rents rise in six areas －0.7pts Q-o-Q Ginza Vacancy Rate
＋0.9% Q-o-Q Ginza High Street Rent
＋0.2pts Q-o-Q Shinsaibashi Vacancy Rate
＋10.8% Q-o-Q Shinsaibashi High Street Rent
±0.0pts Q-o-Q Sakae Vacancy Rate
±0.0% Q-o-Q Sakae High Street Rent
Figure 1: Vacancy rate (upper graph) & High street rents (lower graph) in Q4 2023
– Driven by positive sales figures, appetite for new store space remain particularly strong from luxury goods brands. However, almost all available units in Tokyo and Osaka were leased this quarter. As luxury goods brands tend to prefer large retail spaces spread across multiple floors in highly visible locations, they are now turning their attention to properties currently under construction.
6% 4%
京都
神戸
栄
天神
Tenjin
心斎橋
Sakae
渋谷
Kobe
新宿
Shinsaibashi
JPY/tsubo
表参道・原宿
Shibuya
銀座
Shinjuku
0%
Kyoto
2% Omotesando Harajuku
– Robust leasing demand was observed from retailers in the luxury brand, apparel, recycled goods, and capsule toy shop categories. Leasing activity is now being driven not only by luxury goods brands, but by a wide range of retailers benefiting from the post-pandemic economic recovery and a resurgence of inbound tourist demand.
8%
Ginza
– In Q4 2023, the vacancy rate declined q-o-q in five of the nine surveyed areas. High street rents rose in six of the 10 surveyed areas, although the only areas in which rents exceeded prepandemic levels were Ginza, Shinsaibashi and Kobe, which had already eclipsed this benchmark in previous quarters.
300,000 250,000 200,000 150,000 100,000 50,000
Q4 2019
Q4 2023
Source: CBRE, Q4 2023.
1
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