Is there anyone here well-versed in commercial real estate practices in Japan? I have noticed in my 4-5 trips here, over the last 10 years, that businesses tend to stick around, whereas in America, there is somewhat frequent turnover with commercial tenants (eg. restaurants, retail stores, etc.).
The buildings are also generally very well-maintained, especially on the main roads. That also doesn’t tend to happen in America bc the landlord can decide to not maintain for whatever reason.
I also assume that landlords are profit-seeking but not to the degree as they are in America. Prices for goods in the big cities in Japan (eg. Kyoto and Tokyo) tend to be higher than in other places, but not so much so. I don’t see the same price gouging that is sometimes required in America in tourist-y areas bc commercial rents are so high.
So my questions are:
\-Who typically owns these buildings? Are they real estate developers? Perhaps owned by the government?
\-What type of leases are signed between landlord and tenant (eg. duration, are they triple net NNN, etc.)?
\-Are there rules for maintenance? Who pays for these fixes, landlord or tenant?
\-Can you share approx. how much rent (price per square foot/meter) costs for a typical retail space in Kyoto or Tokyo?
by ospreyintokyo