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Onigiri · No. 9

Bite-size Japan real estate

Japan's zoning: where bakeries meet bedrooms

Japanese zoning laws keep neighborhoods lively.

In Japan, zoning laws are more than just red tape; they're what let a bakery nestle beneath your apartment. Let's snack.

Zoning: Japan’s secret sauce

Japanese zoning is famous for being permissive. Unlike the US and UK, Japan uses 12 national zoning categories that let housing mix with shops and small offices. This means you might find a bakery tucked under an apartment. Economists say this flexibility is why Tokyo’s housing supply keeps up with demand.

The takeaway: japanese zoning laws mean your quiet street could get a lively upgrade.

See Japan's zoning layers on the live map

Leasehold: cheap but different

Most properties in Japan are freehold, but leasehold properties trade at significant discounts. Here, you own the building but rent the land, paying monthly land rent and sometimes facing renewal fees. Some new leasehold condos have a fixed expiry, after which the land returns to the owner.

The takeaway: always verify the rights type on a listing — leasehold isn't freehold.

Check a property's registered rights

Sources — Rules and law: City Planning Act zoning system (用途地域); 借地借家法 (Land and Building Lease Act).

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