Only London and New York City are greater
Aerial view of Shibuya District and Shibuya Crossing, Tokyo. Luciano Mortula/Shutterstock
Tokyo is still a dream destination for the wealthiest home buyers. It is, in fact, the third most desirable city in the world for buying luxury homes, according to the Alpha Cities Index released this week with the “Global Property Handbook” by Wealth-X with Warburg Realty and Barnes International Realty.
Tokyo scored 70 out of 100 on the index, which tracks the buying preferences of ultra-high net worth (UHNW) individuals or those with a net worth of at least USD30 million. With 6,050 UHNWIs, Tokyo has the third largest ultra-wealthy populace of any city in the world, only behind London and New York City.
“The vibrancy of Tokyo gives it its heart and soul,” the report stated. “The largest metropolitan economy in the world, it also has more luxury shopping destinations and more Michelin-starred restaurants than any other global city. Tokyo offers many fascinating contrasts, from its tradition and heritage on the one hand, to futuristic neon skyscrapers on the other.”
Scoring 77, London leads all global cities on the index, followed by New York City, which gained a mark of 75. The rankings were based on a range of “practical,” “emotional,” and “financial” variables, including UHNW population, property value for money, property tax competitiveness, financial safe haven status, and green footprint.
More: 11 most expensive cities for luxury homes in Asia
Despite the decline in Japan’s general populace, the number of wealthy individuals in Tokyo has risen. Around 8 percent of the city’s UHNWI populace are made up of foreign buyers, mostly from Taiwan and South Korea, with Chinese buyers increasingly gaining exposure to the Japanese capital due to the 2020 Summer Olympics.
“With the city set to host the 2020 Olympics, further improvements in infrastructure will underpin the residential market,” the researchers predicted.
While luxury shopping proved to be its strongest suit, ranking number one in that category on the index, Tokyo lags behind its neighbours in terms of average home price per square foot. The city sits at number 45 on the property value for money category.
Sydney and Paris ranks at number four and five on the overall index, followed by Osaka at number six. Other Asian cities down the list include Hong Kong, Singapore, Shanghai, Bangkok, Beijing, Dubai, Mumbai, Kuwait City, Shenzhen, Guangzhou, and Abu Dhabi.
Read next: Is time running out to buy in Tokyo?
Source : property-report.com
Read more…Meet Asia’s greatest alpha city for luxury homes
