Commercial Property Price

During October-December 2016, commercial property prices in Japan fell by 1% quarter on quarter (QoQ).

Published quarterly by Ministry of Land, Infrastructure, Transport and Tourism, and Japan Real Estate Institute. Updated to the quarter of October-December 2016 (published on March 29th, 2017).

Recent data trend

In the last quarter of 2016, commercial property prices in Japan fell by 1% quarter on quarter (QoQ). The Commercial Property Price Index has not risen in the last three quarters of 2016.   

Commercial property prices in Japan were on a sustained upward momentum since late 2012, with a temporary standstill in 2014. However, the rise seems to have lost its steam again in 2016.

Most of the sub-components of the index, such as Retail property price, factory property price show a stagnant trend in 2016. The only exception could be the Office property price where the index has risen in the last quarter of 2016. While it is still premature to make a concrete judgement on whether the upward run in property prices are ending, factors that have been fueling the rise in property prices, falling long term interest rates, aggressive monetary policy to promote a reflationary expectation are both coming to its end, in our view.  

Brief overview of "Commercial Property Price"

Commercial Property Price Index (CPPI) is a newly developed economic indicator currently under a trial release from the Ministry of Land, Infrastructure, Transport and Tourism. The ministry initiated the quarterly publication in March 2016. The statistics are based on transaction values, rather than appraised values by experts. 

For more information, visit the official government page.

Commercial Property Price of three metropolitan Areas (1984-2016)

Suggested Pages

Japan Gross Domestic Product

According to the revised estimate by the Cabinet Office, Japan's real GDP grew by 0.3% quarter on quarter (QoQ) in the January-March quarter. In the preliminary release published 3 weeks ago, the gro

View Page

Japan Consumer Price Index

In June 2017, BoJ's favorite inflation measure, CPI excluding fresh food and energy, remained unchanged from a year ago (YoY). The other core CPI measure, CPI excluding food and energy, fell by 0.2%

View Page

Japan House Price

Residential Property Prices Index(RPPI) marked a second consecutive rise in February, rising by an all time high of 4.5% year on year (YoY). The rise in the residential property prices was marginally

View Page

Japan Economy Watchers Survey

In June 2017, the current economic DI improved by 1.4 points from the previous month to 50. On similar lines, the future DI improved to 50.5 from 49.6. This marks the third consecutive month of impro

View Page