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Prime Retail Markets Across Japan 2017

20/09/2017

THE CONTINUALLY CHANGING LANDSCAPE OF PRIME RETAIL MARKETS ACROSS JAPAN

 

Our biennial report covers the shifts in Japan’s retail market and consumer trends, including:

 

  1. The ranking of retail locations based on rent prices
  2. Changes in rent prices due to tourism and redevelopment
  3. The Shibuya station development project
  4. Shifts toward an experience-based retail market

Some of the key highlights for retailers include:

  • Tourism figures posted a 13% growth rate in Q1 2017 and are on pace to reach the 40 million visitors target. However, the high volume of travellers has caused top-end rents in Shinsaibashi to rise by 66%.
  • The PARCO redevelopment project is scheduled to be completed in the fall of 2019 and is predicted to draw in pedestrian flow from the iconic Shibuya crossing. This has caused a dilemma amongst retailers to relocate to the Shibuya station area.
  • Experiential retail has become a megatrend in the Japanese retail environment causing an increase in community-oriented stores, athleisure brands, pop-up shops and food halls.

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