HAKUBA

After more than a decade of decline, Japanese ski resorts have experienced a recent renaissance.   Whilst asset prices in the Hokkaido ski resort of Niseko, which saw the first wave in this revival, have escalated exponentially due to insatiable foreign demand, Hakuba still offers quality real estate at realistic prices.

As investors move from inflated and over-capitalised markets to other relatively unexplored ski resorts, Hakuba, with its ideal location, snow quality and local attractions, has started to experience an noticeable increase in foreign demand.

We expect the current economic downturn to have a mitigating effect on the rise in asset prices, but view this as a positive for the region - moderate, manageable growth in the region provides a strong buffer against the forming of asset bubbles, which historically have proven to be detrimental to investors and the local community.