Property prices around the new stations increased 1.5 times compared to 3 years ago

A study conducted by LIFULL HOME’S a marketing agency which operates one of the larger sites real estate property sites in Japan.

On March 23, 2024, the Kita-Osaka Kyuko Line, which interconnects with the Osaka Metro Midosuji Line, will be extended approximately 2.5 km north of Senri-Chuo Station, and new stations “Mino-Semba Hankudaimae” and “Mino-Kayano” will open.

The main access to Osaka City from the new stations has been by bus to Senri-Chuo Station, but after the extension, passengers will be able to board trains heading toward the city center from the new stations, which will dramatically improve convenience. The Shin-Midosuji bus route, which runs parallel to the Kita-Osaka Kyuko Line, has been seriously congested in the past, but the extension is expected to ease traffic congestion by increasing the number of travel options.

In addition, the increased convenience of transportation is expected to increase the demand for residences in the area. To see how the prices of used condominiums and detached houses and the rents of rental properties have been affected in the last three years prior to the opening of the new station, we compared the average prices and rents of properties listed on LIFULL HOME’S within a 500m radius* of the new station with those of the entire Minoh City area, where the new station is located, and the entire Osaka Prefecture.

Property prices for used condominiums and single-family houses have increased approximately 1.5 times in three years

The average price of used condominiums and single-family houses in all of Minoh City was 31.69 million yen in February 2021 and 36.53 million yen in January 2024, an increase of 15.3% in three years. On the other hand, if we narrow it down to properties within a 500m radius of the new stations “Minoh Senba Handaimae” and “Minoh Kayano,” the price will be 38.38 million yen in February 2021 and 56.85 million yen in January 2024. The increase was 48.1% in three years, showing a growth that far exceeded that of Minoh city.

Even though the price levels in Minoh City and the entire Osaka Prefecture are on the rise, prices for used condominiums and used detached houses in the extended area have risen significantly, and it can be said that the extension of the Kita-Osaka Kyuko Line is having an impact on the real estate market along the line.

Rental rates for rental properties are also on the rise as well

Next, we turn our attention to the rental property market.

The average rent for rental properties across Minoh City was 58,098 yen in February 2021 and 57,359 yen in January 2024, a decline of 1.3% over three years.

On the other hand, if we narrow down our search to properties within a 500m radius of the new stations “Minoh Senba Handai-mae” and “Minoh Kayano,” although there is high volatility, rent at 58,701 yen in February 2021, and January 2024 the monthly rent amount was 69,814 yen, an increase of 18.9% in three years.

Will the occupancy rate of rental properties increase due to increased demand?

The impact of the extension can also be seen in the number of properties listed on LIFULL HOME’S in the rental market.

The number of properties listed within a 500m radius of the new “Minoh Senba Hankai-mae” and “Minoh Kayano” stations, remained around 1,000 until around July 2023, but has been on a downward trend since the second half of 2023.

Real estate companies list properties on LIFULL HOME’S in order to advertise for potential tenants for vacant properties, but the number of vacancies in existing properties in the area has been decreasing due to increased rental demand, and even when vacancies do occur, applications are received immediately after the start of the application process, resulting in a shorter listing period per property. This is thought to be the main reason for the decrease in the number of properties listed.

Expectations are high for further development of Minoh City

The idea of extending the Kita-Osaka Kyuko Line dates back to the third Minoh City Comprehensive Plan of 1985. Nearly 40 years after its conception, Minoh City’s long-cherished wish has finally come to fruition. The extension is expected to have an effect on the entire Minoh City area, including the reorganization of bus routes centered on the bus terminal to be built in front of Minoh Kayano Station and the construction of a new cultural facility near Minoh Senba Hankai-mae Station.

In areas where transportation convenience will be improved by the extension, residential demand is naturally expected to increase, and surveys have shown that prices and rents for both sales and rental properties are rising in the area around the new station. In addition to the increase in residential demand, this can be attributed to a change in the demographics of those who are considering living in the area. Three years ago, when access to the city center was weak, demand was mainly from people commuting to work or school in the neighborhood, but as access to the city center has been strengthened by the extension, demand from people commuting to the city center has increased. However, as access to the city center has been enhanced by the extension, demand from people commuting to the city center has increased.

In fact, taking the Minoh Semba-Handai-mae Station area as an example, most of the new rental properties listed on LIFULL HOME’S in the spring of 2021 were for single adults. The main target was students of Osaka University’s Minoh Campus, who relocated to the neighborhood in the same year. However, as of February 2024, all of the new rental properties listed near the station were for families.

In January 2025, Brillia Tower Minoh Senba Top of the Hill, a condominium directly connected to Minoh Senba Hankai-mae Station, is scheduled for completion. The price range for a three-bedroom apartment is in the 60 million yen range or higher.

Generally, a rise in new construction prices leads to a rise in used prices. Furthermore, a rise in market prices is expected to induce reluctance to buy, which will increase rental demand, especially among families, and affect rent prices. Thus, until the development around the new station settles down, it is likely that market prices will continue to rise along the line, both for sales and rentals.

The Midosuji Line, Osaka’s major metro line, has been running for more than half a century with the final destination of “Senri-Chuo. The development of the Hokusetsu area, including Senri, during that time is well known. We hope that the extension of the Kita-Osaka Kyuko Line will be the catalyst for the further development of Minoh City.

Original Article: 北大阪急行延伸の不動産市場への影響を調査

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