Niseko in Hokkaido has become a magnet for foreign real estate development. A recent report by Japan's News Zero revealed how Chinese-led projects are expanding rapidly, often without winning the trust of nearby residents.
Niseko: Japan’s Winter Playground
Reporters noted that the city now seemed almost alien. At the local office, queues of non-Japanese residents register their addresses. As soon as the ski slopes opened on December 4, crowds gathered. A tourist from Germany summed up: "I've come to see Japan's famous powder snow."
Kachhan Town: One in four residents is a foreigner
Kutchan, the center of Niseko, has seen a dramatic change. Of the 17,136 residents, 4,037 are foreign nationals – almost one in four. For the first time, the number of foreign residents exceeded 4,000, with Chinese residents reaching a record high.
Signs reading "for sale" in English are everywhere. Property prices in Japan once reached their highest growth rates, and the market continues to change rapidly.
Real estate companies: Deals with Chinese buyers have doubled
Local agencies confirm this trend. “Asian buyers, especially Chinese, are extremely active,” said Hideyuki Ishii, president of Hokkaido Realtor. While in the past it was dominated by Western clients, deals with Chinese investors have more than doubled in the past two to three years.
"People imagine villas costing 300 to 500 million yen. Compared to global ski resort markets, Niseko is still cheap," he said.
Chinese Investors Call Niseko a ‘Blue-Chip Stock’
A Chinese investor explained why he bought the land: "Niseko's snow is the best in the world. I built a villa and developed the land." Asked why Niseko, he replied, "It's like stock trading. If it looks like a blue-chip, you invest immediately." The plan is simple – develop, then resell to other foreigners for profit.
Development Brings Tension
Longtime resident Bob, who has lived in Niseko for more than 20 years, expressed concern. "I've seen trash like beer cans. It's small right now, but it will grow." He pointed to the cutting of trees by Chinese workers without permits. "They cleared the beautiful trees, dropped the containers, no signs, nothing. I heard they are building a four-storey hotel, but they haven't even got the approval."
Nearby shop owners also noticed the problem. "At first, the staff didn't speak Japanese. They ate and smoked under people's roofs. It was dirty." Work has since halted, but questions remain.
Developers Respond
When asked why construction began without a permit, a landowner said, "We didn't know. We hired another company, and they didn't do the paperwork." On complaints about staff behaviour, he said, "If it's a problem, just call the police." He promised to organize community meetings to reduce tensions.
Niseko as a Business Opportunity
Japanese developers are also moving forward. A firm is planning a large apartment complex aimed at addressing the long-term rental shortage. Seasonal workers flood the city every winter, and housing is in short supply. The project will house 1,200 people, mostly resort employees.
Local Concerns Over Crime and Safety
Residents are concerned about increasing crime and traffic problems. 52 criminal cases were registered in Kutchhan last year, the highest in five years. “This is not about discrimination,” said one local. "If people follow the rules, there's no problem. But when they don't, it becomes scary."
