Japan Real Estate Market Quarterly Review-Third Quarter 2024

Financial Research Department Yoshida Tasuku

Macro Economy

In Q3 2024, Japan’s real GDP is expected to increase by 0.2% q-o-q (annualized 0.8% increase), the second consecutive growth
Japan’s real GDP is expected to expand by 0.7% in FY2024, and 1.1% in FY2025

Real Estate Market

Tokyo's office market remains resilient, supported by stable office demand
Multifamily rents in Tokyo’s 23-ku are steadily increasing driven by population influx
Retail sales continue to grow, fueled by strong inbound consumption
Vacancy rates in Greater Tokyo’s logistics sector remain elevated due to new supply
The hotel market continues to perform strongly, fueled by robust inbound demand

Capital Market

J-REITs remain stable at lower levels, pressured by ongoing concerns over rising interest rates
J-REITs acquired property assets totaling JPY366 billion in Q3 2024 (22.6% increase y-o-y)

This report includes data from various sources and NLI Research Institute does not guarantee the accuracy and reliability. In addition, this report is intended only for providing information, and the opinions and forecasts are not intended to make or break any contracts.