Introduction

CBRE’s 2023 Asia Pacific Investor Intentions Survey was conducted in November 2022 and asked respondents a range of questions regarding their investment strategies for 2023. Based on the results of the survey, this report analyses how the Japanese real estate investment market may change this year. 

More than half of the investors active in the Japanese market (including overseas-based investors) expect the Bank of Japan to raise interest rates in 2023. Despite this assumption, appetite for investment in Japanese real estate shows no signs of weakening. However, more investors expect prices for some asset types to decline as a result of higher interest rates, while other asset types are attracting stronger interest due to potential upside in cashflow. It therefore appears that while many investors foresee interest rates rising, they plan to take the opportunity to calibrate their investment strategies based on the specific market situations of each asset type.