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Tokyo Real Estate (Current state Findings (Lifespan of a building is 10-25…
Tokyo Real Estate
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Current state Findings
Lifespan of a building is 10-25 years SOURCE
Because of this, and because of the poor second hand value of an apartment, the apartments are sold and designed specifically to that buyer.
Why?
- Safety regulations that are continuously changed and updated
- History of bad buildings post-war japan that forced them to change construction standards
- Always changing land owners making the terms of how to build and adapting the constructions, architecture and design after the current market situation
Physical lifespan: How long the building lasts and is usable until it completely rots away. Design, construction and maintenance can determine how long or short a building lasts.
Social lifespan: Buildings aren’t always able to keep up with changing household structure, lifestyles and tastes. This may be more apparent in Japanese housing over the past several decades. One example is the public housing built in the 1950’s and 1960’s. Even the most desired apartment blocks at that time had no elevators, low ceilings, and tiny rooms. Some apartments had either a communal bath or no bath at all as public baths were common. Nowadays these older apartments are considered to be very outdated, but they were once thought to be extremely modern and fashionable.
"Over a quarter of nationwide apartments on the market are over 30 years old and based in Tokyo, sources say
Close to 2 million apartment listings are in Tokyo alone"
SOURCE
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Economic loss is expected when buying a home
"investment or portfolio growth is effectively impossible in Japan due to the market, meaning homes are built for the buyer, and no one else." Source
Yet, renting out is still considered profitanble
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Buying homes with cryptocurrency Article
Many single households Article
Women are choosing to be alone. Article
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"By 2035, half of Japanese aged 15 and up will be single. Japan will be a “super-solo society,” says advertising copywriter and commentator Kazuhisa Arakawa." Article
"Living alone in Japan: Relationships with happiness and health" Report
Proptech
"Real Estate Tech or PropTech – are developing in Japan, taking advantage of information technology (IT). Real Estate Tech refers to various types of businesses, such as: (i) crowdfunding for real estate investment; (ii) improving efficiency of real estate transactions with IT (eg, conversion of written legal documents into an electronic version); (iii) matching users and owners of properties; and (iv) the estimation of the value of, or appraisal of, real estates by using big data. "Article
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Legal & policy
...the Japanese government appears to have started discussions to implement a policy to provide further information disclosure with respect to ESG in real estate investments in order to encourage investment in sustainable real estate... Article
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Politcal
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Foreign investors driving the real estate market up
Article
Elderly population rises - government tries to stimulate labor article
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The bubble / "Lost Decades" article
Related findings
Smart cities
Smart cities for visually impaired. Article
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"Various designs for future cities have been mooted, some more adventurous than others. Some are actually being built. All aspire to being carbon neutral and sustainable, exploiting the latest technologies for construction, renewable energy, recycling and transportation" Link Title
Biotechnology
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"In the first decade of the 21st century and beyond, the forces that prompted industrialization and digitization persist, but a new, more urgent, and arguably longer-term need has arisen that calls for a new revolution—the requirement for ecologically sound practices in design that guide scarce resource management, particularly in manufacturing and building" Article
Metabolism - taking subject from one state to another either through product or absorption on energy
Millenials and ownership priorities Stats
Home insurance
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"The industry will transform itself from reactive repair service to proactive prevention service as insurers drive widespread adoption of IoT in 2018" Link Title
"Innovations in spatial sciences, combined with big data, raise the possibility of the insurance industry introducing innovative pricing strategies that induce private real estate owners and local governments to take efforts that together yield a more resilient real estate capital stock. In short, the insurance industry is adapting in order to profit from climate risk, and in doing so it will help society adapt as well" . Link Title
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