DEVELOPMENT BRIEF

There is no doubt that the market is maturing in Niseko with global hotel brands such as The Park Hyatt, Aman resorts, The Pavilions and The Ritz Carlton now making their mark on Niseko, no doubt more will come in the ensuring years. This is confirmation of global recognition that Niseko is one of the Worlds best ski resorts which is able to offer developers exceptional opportunities in the high-end resort market.

Other luxury brands such as SC Global and Metropoly are investing heavily in Hirafu making a positive contribution, promising to bring international retail brands and restaurants which continue to enhance the experience within Niseko. Bringing Niseko in line with the worlds best ski resorts such as Courcheval and Aspen.

Going forward we need to focus on not only those seeking Niseko’s incredible powder snow but those who are here to enjoy what Hokkaido has to offer, breaking into the Green Season market making Niseko an all-season destination. With the increase in high-end accommodation available in Niseko, developers need to offer a unique experience with luxury facilities, restaurants and services in order to encourage new and repeat business.

DEVELOPMENT CHALLENGES IN JAPAN

Like any resort town weather plays a big part on how much construction can take place during a calendar year, this usually means 6-7 months of building time per year, and what might take 12 months in any other area becomes a 24 months project.

FUTURE

Development is no longer confined to just the Niseko area, with projects such as Yu Kiroro and The Vale Rusutsu proving that there is a wider market. Fenix Furano has also been very successful, and we expect to see further growth in the domestic market there with international interest not far behind. Developers and Investors are seeking higher returns no longer available in the Hirafu/Niseko Village area and with this being offered in Hokkaido’s other resorts with all-season tourism, we see Hokkaido as the Asia’s prime destination. Operators need to remain focused and keep up with the arrival of big-name brands. There is still a lot of opportunity for small to medium sized investments such a lodges, pensions and chalets, offering personalized and homely accommodation for families and young people. With the number of visitors growing year on year it certainly seems like the only way is up for Hokkaido.