Niseko’s luxury hotel and villa boom continues

There is no end in sight to the current construction boom in the ski resort town of Niseko in Hokkaido, with a number of luxury resorts and private villas under development. Spacious homes and apartments can easily fetch upwards of several hundred million Yen (several million USD). Rising construction costs and a labor shortage, however, are putting a strain on developers.

Asia’s wealthy head to Niseko

  • Luxury apartment and hotel boom
  • Turning into a world-renowned resort area

Hokkaido’s Niseko and Kutchan area is seeing a rush of luxury apartment and hotel developments. Known for its perfect skiing conditions, many Australians had purchased ski chalets and vacation homes in the town. The recent development boom, however, has been spurred on by Asia’s wealthy investors and developers.

Resort development activity picking up in Hokkaido

Architect Tadao Ando visits the site in Tomakomai.

Resort development activity is starting to accelerate in Hokkaido as the region begins to see a rebound in foreign tourist numbers.

Construction is scheduled to start on a large-scale resort in the Uenae area in Tomakomai City this June. The 1000 hectare site will include a hotel, horse-riding and trekking facilities. Aman Resorts Group’s GHM (Singapore) are tentatively scheduled to be the hotel operator. The development is being designed by famed Japanese architect Tadao Ando and will be completed in 2014. They are targeting wealthy foreign tourists. The total investment is estimated at 13 billion Yen (158 million USD).

*Update: Aman’s ‘Chedi’ brand of hotels is scheduled to operate the hotel. “The Chedi Tomakomai” is now scheduled to open in 2017.

*Update 2: Mori Trust have acquired the site in 2016 and will start construction on a resort in 2017 with completion expected in 2026.

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