Renewable Energy Pushing up Property Prices

In response to some queries submitted privately, asking if we only deal in Fukuoka city in Japan, or spreading to other areas. The answer is – we go where the good deals are. What this means these days, is that Kyushu area, in Japan, is swiftly becoming the country's "green" energy Mecca, with a vast cadre of Japan's giants (mistubishi, Toshiba, hitachi, Nippon steel, sparx assets, and more and more and more) announcing solar and wind farms left right and centre, Kyushu railway installing solar powered cars, and the government providing the worlds highet FIT (feed-in tariff) for private residences and businesses selling clean energy to Kyushu power, the region's electricity provider, who has to buy them at Pre-determined (super high) rates.

as a result, we're seeing less and less attractive deals in the area's capital (Fukuoka city), and are slowly migrating to Kumamoto, Kurume, Nagasaki, etc – most likely the next destination for investment (Kumamoto prefecture, for instance, will have a Toshiba mega-solar farm construction begin early next year). We can still get over 13% Pre-tax returns out of Fukuoka city, not so many in the city itself these days.

hope this helps

Ziv Magen- Manager, Asia-Pacific

NTI – Global Real Estate – Japanese Property

http://www.nippontradings.com