A quick 1.5-hour train ride from Tokyo, Isawa Onsen in Yamanashi used to be bustling with business group trips and was known as a retreat near the capital.
The article describes visiting a ryokan (traditional inn) in Isawa Onsen, where many tourists from large buses, mostly speaking Chinese, were observed. The current owner of this inn is a Chinese company, though the inn still retains traditional Japanese decor, including a pond with koi fish.
According to Kenta Miya, the manager, the change in ownership to a Chinese company occurred in 2023, driven by the appeal of Japan to foreign investors. After struggles from the economic downturn and the pandemic, Isawa Onsen faced tough times, but the inn has seen more guests after being acquired by foreign capital.
The article notes that several other inns in Isawa Onsen have also been purchased by foreign, especially Chinese, investors. Ichiman Kakuda from Fuefuki City’s tourism department estimates about 10 such inns in the area, but it’s not clear since many are not registered with the local association.
Chinese social media posts advertise inns in Isawa Onsen as investment opportunities, with 90% of listed ryokans being bought by foreign investors, according to industry expert Yuji Tsuji. He notes that foreign buyers often pay double what would be offered domestically because the location is appealing, being near Mt. Fuji and centrally located between Tokyo and Kyoto.
However, the increased foreign ownership hasn’t benefited the surrounding hot spring town much. While many Chinese guests stay at the ryokans, they don’t frequent the local shops, which mainly see local and Japanese tourists.
Kakuda from the Fuefuki City tourism department hopes for mutual cooperation to boost the area’s appeal. The series “Acquired Homes” by “It!” continues to investigate the issue of foreign ownership of real estate in Japan and invites information from the public.
by MagazineKey4532