Foreign real estate buyers are turning to Japan as an investment haven, hunting for properties like logistics facilities and offices while taking advantage of the country’s low interest rates to finance their purchases.
The opportunity in warehouses and other storage spaces has been created by tighter restrictions on delivery drivers’ working hours, a coming change intended to safeguard safety and health. Office buildings have benefited as Japanese workers have largely returned to the office.
There are other enticements. Easy financing is available, and the yen is sitting at a 33-year low against the U.S. dollar. That is at least partly because the central bank remains committed to its decade-old ultra-easy monetary policy. Businesses, meanwhile, are doing well, and demand for space is high.
Japan income fund, JPMorgan Japan Small Cap Growth & Income (LONJSGI), targets Japan income without compromising on Japanese growth opportunities. This Japan income investing opportunity gives investors access to a diverse and fast growing sector managed by local managers.