The real estate trap in Japan: Beware of these "non-rebuilding" houses!

Hong Kong people's love for Japan has long extended beyond travel and food to real estate and immigration. Looking back ten years ago, many Hong Kong residents began seeking investment opportunities in Japan, initially purchasing apartments and later upgrading to single-family homes with land, experiencing the joys of being a "landlord." In Japan, land is permanently owned, a stark contrast to the "use rights" concept in Hong Kong, which sounds truly enticing.

However, while enjoying the benefits of freehold land ownership when purchasing a single-family home in Japan, one must also be wary of potential pitfalls. One key phrase you absolutely cannot ignore is the phrase "No Rebuilding Required." If you encounter this sign while viewing a property, stop and carefully understand its underlying meaning.

What is a [non-rebuildable object]?

As the name suggests, a "non-rebuildable property" means that even if your existing building is intact, once it is demolished and becomes a vacant lot, you will not be able to build any new houses on that land . This situation is usually limited to urban planning areas and semi-urban planning areas.

Why is there a "no reconstruction" rule? — The key lies in "moral obligation"

This strict regulation stems from a very important principle in Japan's Building Standards Law - the "Duty of Adherence." The core of this obligation is:

"The land must be in direct contact with a road that is at least 4 meters wide by more than 2 meters."

Simply put, your land must be able to be "legally" connected to a road of sufficient width.

So, why is there such a "road access obligation"? This regulation is motivated by public safety . Imagine if the entrance to a plot of land is blocked by narrow alleys, walls, or a lack of road access. In the event of an emergency such as a fire or earthquake, emergency vehicles like fire trucks and ambulances would be unable to access the scene to extinguish the fire or provide assistance. Therefore, to ensure unimpeded access for emergency rescues, the Building Standards Act prohibits the construction of new buildings on land that fails to meet this "road access obligation."

Which lands do not meet the "obligation to connect with the law"?

According to the Building Standards Act, the following situations may cause land to be classified as "no longer buildable":

• (1) The land is completely unconnected to roads: There are no legally accessible roads around your land.

• (2) Insufficient contact surface with the road: Although your land contacts the road, the width of the contact area is less than 2 meters, which is not enough for emergency vehicles to enter.

• (3) The road in contact does not meet the requirements: Although your land is in contact with a road, the road itself does not meet the requirements of the Building Standards Act (for example, it may be an illegal road or a very narrow lane that is not officially recognized).

When the land does not meet any of the above-mentioned "access obligations", the land cannot be "rebuilt", that is, houses cannot be rebuilt.

How much impact does "No More Building" have on you?

In Japan, specifically within Tokyo's 23 wards, approximately 300,000 properties are classified as "non-rebuildable," representing approximately 5% of the total. While this percentage may not sound high, it represents a significant risk that should be carefully considered by those considering purchasing property in Japan.

If you purchase unrebuildable land and build a house on it, you'll face the dilemma of not being able to rebuild in the future if your house needs to be rebuilt due to age, earthquakes, or other factors. Even if you simply want to undertake a major renovation, structural limitations may make it difficult. This can significantly impact the long-term value and resiliency of the property.

How to avoid the "no rebuilding" trap when buying Japanese real estate?

Before considering a Japanese detached house, be sure to carefully investigate whether the land's "access obligations" comply with regulations. This not only affects your rights to rebuild in the future, but also directly affects the value and security of the property.

If you have any questions about "contract obligations" or "rebuilding unrestricted properties" when searching for property in Japan, or need professional advice to assess potential risks, please feel free to contact us. Let us work together to ensure that your dream of buying property in Japan is realized safely and securely!