Photo by Maksym Grinenko on Pexels.com
The average price of newly released condominium units in Tokyo’s 23 wards reached a new peak in fiscal 2025, driven by higher construction costs and limited supply, a real estate research firm reported.
Data showed that the average unit price climbed to about 137.84 million yen, marking a significant increase from the previous year and sustaining the trend of prices exceeding 100 million yen for three consecutive years.
Across the broader Tokyo metropolitan area, which includes Kanagawa, Saitama, and Chiba, the average price also rose to a record level of 93.83 million yen.
Analysts said the increase was partly due to the development of larger residential projects in locations with convenient access to central Tokyo.
In Kanagawa, the average price went up to 74.81 million yen, while Saitama recorded an average of 63.06 million yen.
Chiba posted a sharper rise, with average condominium prices reaching 68.28 million yen during the same period.
Industry observers said costs continued to rise due to supply constraints and more expensive construction materials.
They added that ongoing global tensions, particularly in the Middle East, were affecting the availability of oil based materials, which in turn pushed up housing costs and disrupted the supply of certain building components.