Toranomon Rising: New Tokyo Office Buildings Cluster in MinatoEconomy Architecture
A survey on the supply of large office buildings in central Tokyo’s 23 municipalities, conducted by the real estate developer Mori Trust, found that 870,000 square meters of office space was supplied in 2019, well below the 20-year average (1.1 million square meters). This figure will rebound significantly in 2020 to 1.9 million square meters, more than double the previous year. An expected 1.3 million square meters will be supplied in 2023, rising above the average recorded for 2000–19; however, that aside, supply is forecast to fall from 2021 onward.
The supply of office buildings is overwhelmingly concentrated in the central municipalities of Chiyoda, Chūō, and Minato. Total supply to these three municipalities for 2020–24 will account for 76% and the supply for Minato alone will be close to 50%. Within Minato, the largest supply is to the Toranomon/Shinbashi district, with supply also on the rise in the Shibaura/Kaigan and Shiba/Mita districts.
Medium-scale office building supply meanwhile fell from the previous year to 88,000 square meters in 2019. Supply is continuing to fall and is forecast to stay below the 10-year average (121,000 square meters). Looking at supply in 2020-21 by municipality, Minato has the highest with 40%, concentrated particularly in the Toranomon/Shinbashi district. Toranomon is fast becoming a hot spot for both large and medium-sized office space.
(Translated from Japanese. Banner photo: Tsuji Shingo, president and CEO of Mori Buildings, announcing the Toranomon Hills development project in April 2016. © Kyōdō.)