The Exodus of China’s Wealthy to Japan
Frustrations with China’s autocratic political system and economic slowdown provoke the flight, helping Tokyo’s luxury property market
Frustrations with China’s autocratic political system and economic slowdown provoke the flight, helping Tokyo’s luxury property market
TOKYO—Last year, China native Tomo Hayashi, the owner of a metals-trading firm, moved to Tokyo. He quickly adopted a Japanese name, spent the equivalent of about $650,000 on a luxury waterfront condo and, in March, brought his family to join him.
The 45-year-old, whose two boys just started in a Japanese elementary school, is one of the many wealthy Chinese driving a boom in high-end Tokyo properties and reshaping the city.
Frustrations with Beijing’s autocratic political system, which flared during abrupt pandemic-era lockdowns and have only grown since then, have helped drive the wave, according to real-estate agents and others watching the exodus. China’s economic slowdown and its struggling stock market are also motivating wealthy people to leave the country, they say.
Hayashi, who like many Chinese buyers avoids discussing politics back home, said the move to Tokyo was a challenge. “But we like Japan—food, culture, education and safety,” he said.
Japan isn’t the only haven for Chinese people seeking a Plan B. The U.S., Canada and Singapore are among the countries drawing Chinese migrants, while Hong Kong residents often head to the U.K.
But Japanese cities that are just a few hours’ flight from China are a leading choice for better-off Chinese people. Japan’s real-estate prices are low for foreigners thanks to the weak yen and it is fairly easy for them to purchase property. And the Japanese writing system uses Chinese characters in part, so new arrivals can more easily find their way around.
A report last June by Henley & Partners that tracks worldwide migration trends estimated that a net total of 13,500 high-net-worth Chinese people would migrate overseas during the year, making China the biggest worldwide loser in that category.
Japan had about 822,000 Chinese residents as of the end of last year, up 60,000 from the previous year in the biggest jump in recent years.
Tokyo real-estate broker Osamu Orihara, a naturalised Japanese citizen who was born in China, said his revenue has tripled or quadrupled compared with 2019 before the pandemic, driven in large part by Chinese buyers.
“What is different from the past is there are more who want to get a long-term visa,” Orihara said.
About one-third of the condos on the floor of the 48-story building where Hayashi lives are owned by individuals with Chinese names or companies whose representatives have Chinese names, according to real-estate records. People in the neighbourhood next to Tokyo Bay, a forest of high-rise condominiums, say the typical building has a quarter or more Chinese residents.
Hayashi said a Chinese friend recommended the building. He described the price for the 650-square-foot, two-bedroom unit as reasonable compared with Hong Kong, where he briefly lived after leaving his hometown of Shenzhen, China, and he said the value has already gone up by some 10% to 15%.
The average price for new apartments in central Tokyo was up nearly 40% last year to the equivalent of about $740,000, according to industry figures. The rise was influenced by a flood of new properties appealing to affluent Chinese buyers who are concerned about a steep slump in their own market, market watchers say.
Brokers said Chinese buyers were also eager to buy resort properties. On the northern island of Hokkaido, a town named Furano that is near ski slopes saw residential land prices rise 28% last year, the fastest rate nationwide. Hideyuki Ishii, a local broker, said wealthy Chinese from the mainland, Hong Kong and Singapore were looking for vacation homes.
“A red tsunami is coming with the Chinese flag in tow,” he said.
Chinese people who want to move to Japan and buy an apartment or house generally face two challenges: getting their money into Japan and getting a visa.
China restricts how much its residents can take out of the country, but many Chinese buyers own companies with international operations or have overseas investments. Orihara, the broker, said his clients usually have a bank account in Hong Kong or Singapore from which they can wire money.
One exception, he said, was a client who bought a $190,000 property and mobilised friends and relatives to carry cash little by little over a few months.
As for the visa, people who invest the equivalent of at least $32,000 in a Japanese business that has a permanent office and two or more employees can get a business-management visa.
Other Chinese obtain a visa for what Japan describes as high-level specialists in business, technology or academia. The number of Chinese with the technology version—software engineers and the like—rose 30% between 2019 and 2023 to more than 10,000. Holders can apply for permanent residency in Japan in as little as one year under a point system that favours those with high salaries and advanced degrees.
Tokyo visa consultant Wang Yun, who is originally from China, said most of his clients were Chinese, often business owners or corporate executives in their late 30s to 50s from big cities such as Shanghai or Beijing.
Once settled, many Chinese opt to use a Japanese name, including on legal records in Japan. Some turn to Japanese readings of their name’s Chinese characters, while others pick an entirely new name.
In addition to convenience when dealing with Japanese people, using a Japanese name allows people of Chinese origin to keep a lower profile back home, where they typically still have family. That may be helpful because Chinese authorities tend to frown on the trend of people moving out with their assets.
Popular Chinese social-media platforms such as Weibo , Little Red Book and WeChat buzz with talk of purchasing real estate in Japan. There is some censorship: Citing government regulations, Weibo blocks searches using a hashtag that translates as “Chinese investors are flooding into Tokyo to buy houses,” though users can search for that subject without the hashtag symbol.
Satoyoshi Mizugami, another broker in Tokyo with roots in China, said he hoped to triple his staff to 300 people in five years to handle all the new business from Chinese buyers. A new office building is under construction to accommodate them, he said.
One of Mizugami’s clients is a 42-year-old Chinese man who was educated in the U.K. and started a restaurant business in China and the U.S. He had been living in China since the pandemic and, when he decided to leave, chose Japan because he thought the business environment was better than that of the U.S. Last year, he bought an apartment in central Tokyo, using the money from selling his U.S. business.
This buyer said he was opening a food-trading business in Japan and applying for a visa to move to Japan with his Chinese-American wife and their 4-year-old son.
On a recent morning in Tokyo, Hayashi, the buyer of the waterfront condominium, was busy helping his boys, 9 and 7, learn Japanese and English online and watching them play outside. His wife had briefly returned to China to see their 15-year-old daughter, who is staying to finish high school there.
Hayashi said he intended to stick with Japan for the long haul. He said one attraction was the high level of medical care, which he expects would be valuable when he gets older. He was careful to note that he has been paying Japanese taxes since last year. As a holder of a high-level specialist visa, he said “I’d like to get permanent residency in four or five years.”
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The enduring appeal of marble has gone into overdrive as designers explore the beauty of coloured stone to create truly inviting and indulgent interiors.
Like all design movements, the return of marble to interiors started quietly enough with the rise of ‘greige’ as the dominant colour palette. A warm version of grey, for a while there, you could barely step into a well-considered residential space without being confronted with the ubiquitous neutral tone.
However, to be successful, this look depended on texture, layering and patterning to provide truly heartfelt spaces with genuine depth. And so Calacatta and Carrara marble entered the room, literally making itself at home in kitchens, bathrooms, and living room hearths, as well as in a myriad of accessories and furniture from small bowls and coasters to coffee and dining tables.
As greige made way for a return to colour in interiors, in recent years designers have turned their attention to bolder choices, moving on from the classic tones of Calacatta, Carrara, and Pietra marbles to Verde Indio, Spanish Gold, and Calacatta Viola.
Not that there is anything new about marble. First documented for use in construction in 3rd century Greece BCE, with evidence it was also used in ancient Turkey and Rome, it was originally chosen for its strength and beauty, as well as its accessibility, extracted from quarries using hammers and wedges and removed using pulleys, levers, and winches rather than the more difficult process of mining. While extraction methods have improved, especially in recent years, the nature of this popular stone is unchanged.
A metamorphic rock composed mostly of calcite, it is formed when limestone is subjected to heat and pressure. When the calcite in the limestone recrystallises, it forms a rock that is a mass of interlocking crystals, creating what we know as marble.
While many countries, including Australia, have marble deposits, about half the world’s supply is sourced from just four countries—Spain, Italy, India, and China. Strong enough to endure extended use, it is also soft enough to be relatively easy to carve while its natural beauty allows it to be polished and honed, giving it a glow that adds depth—and a sense of luxury—to any space it inhabits.
Australian designers have been quick to embrace the use of marble, offering, as it does, the opportunity to create truly unique interiors. Creative director of Mim Design, Emma Mahlook, says while budget is always a consideration, a greater variety of marble has become easier to source in recent years.
“Coloured stones provide an opportunity to create distinctive and striking spaces,” she says. “As such, we are finding that there is a slight shift to bolder and braver choices of coloured stone than the traditional whites and greys.”
For homeowners interested in creating distinctive, outstanding spaces, it is hard to beat, with each piece different from the other.
“No batch of stone is ever the same, which makes it so unique and such an interesting and visually appealing product with colours, textures, and patterns that are sometimes as complex as intricate works of art,” says Mahlook.
She cites a recent commercial project her studio realised for Enoteca Boccaccio, an exclusive Italian restaurant in the heart of the Melbourne suburb of Balwyn, where she specified a selection of coloured marbles to create an intimate and luxurious dining experience that looks to the past, as well as the future.
“The choices of natural stone in Enoteca Boccaccio, which featured marbles Rosso Levanto and Carrara as well as a granite called Domino, were selected to reflect Italy’s streets and embody genuine durability and commitment to the art of preservation,” says Mahlook. “Rosso Levanto and Carrara are archaic marbles with such strong significance connecting to Italy’s rich heritage.”
Colour and Communications Manager at Dulux, Andrea Lucena-Orr, says the interest in coloured marble in Australian design has its origins in more transient hospitality spaces like bars and restaurants, where design is traditionally riskier.
“Typically, it starts in hospitality and commercial environments,” she says. “You tend to get it in high-end homes because it is expensive, but it’s beautiful.”
“That whole natural palette is a huge phenomenon—people are celebrating those imperfections in patterns and shapes now.”
Because no two slabs are the same, Mahlook says there’s the ability to create truly distinctive, personal spaces for clients seeking genuinely idiosyncratic interiors.
“The movement towards coloured natural stones reflects a broader cultural shift towards individuality, sustainability, and innovation in design and architecture,” she says.
For those falling under its spell, Director of Studio Tate, Alex Hopkins, says marble pairs well with other materials such as timber and looks beautiful indoors, particularly in kitchens and bathrooms. However, she cautions there are some things to consider before specifying it at home.
“To ensure marble remains a timeless choice rather than a fleeting trend, we recommend using it selectively and pairing it with contrasting materials,” she says. “It’s crucial to understand its maintenance demands and consider the overall budget, including installation and upkeep costs.”
While it is susceptible to staining because of its porosity, Hopkins says using marble sparingly, for example, in a powder room vanity, can minimise maintenance.
“Different finishes, like honed surfaces, can also help reduce the appearance of wear,” she says. “Working with experienced designers or specialists ensures the marble chosen fits both the aesthetic and functional needs of your space.”
Professionally applied sealants can also make staining less likely.
For those bold enough to take the plunge, Hopkins says the rewards are great.
“Its diverse colour palette and natural veining offer a unique aesthetic that other materials can’t match,” she says.
This stylish family home combines a classic palette and finishes with a flexible floorplan
Just 55 minutes from Sydney, make this your creative getaway located in the majestic Hawkesbury region.