Shibuya Komuten｜Why Construction Costs Are Rising and the Reality of Store Renovation in Tokyo
Why Are Construction Costs Increasing?
In recent years, construction costs in Tokyo have risen significantly. Several factors contribute to this trend:
• Rising material prices: Steel, wood, and concrete have become more expensive due to global demand and the weak yen.
• Higher labor costs: Skilled craftsmen are in short supply, leading to increasing wages.
• Stricter regulations: Tougher earthquake and fire safety standards raise the cost of compliance.
As a result, what used to cost ¥500,000–¥600,000 per tsubo (3.3㎡) now often exceeds ¥800,000 per tsubo, especially for restaurants and retail spaces.
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Why Is There a Shortage of Skilled Craftsmen?
Japan’s construction industry faces a serious shortage of skilled labor:
• Aging workforce: Veteran craftsmen are retiring, and few successors are entering the trade.
• Younger generation turning away: The physically demanding and long-hour nature of the industry discourages younger workers.
• Difficult skill transfer: It takes years of training to master traditional techniques, making it hard to train replacements quickly.
This shortage drives up labor costs and slows down projects, directly impacting construction prices.
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Why Does Store Construction Cost ¥800,000+ per Tsubo?
When designing and building a store from a skeleton property, the cost can easily exceed ¥800,000 per tsubo. The main reasons include:
• Kitchen and drainage systems – Essential for cafés and restaurants, and often require heavy-duty installations.
• Ventilation and air conditioning – Stronger systems are needed to handle high customer density.
• Complex interior design – Materials, finishes, and branding elements increase both time and cost.
• Special lighting and electrical systems – To create ambiance and meet performance requirements.
Unlike residential projects, store construction directly impacts sales, which means greater investment in design and functionality is required.
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The Risk of Choosing a Contractor with “Cheap Estimates”
One of the most common mistakes is selecting a contractor simply because their quote is much cheaper. The risks include:
• Poor quality construction – Cheap bids often rely on inexperienced subcontractors or cut corners.
• Hidden additional costs – Some contractors deliberately omit key work in the initial estimate and later add “extra charges.”
• Weak aftercare and warranty – Low-cost contractors often lack strong follow-up support or guarantees.
In the end, what looks like a bargain can turn into higher costs, disputes, and business delays.
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Why Choose Shibuya Komuten?
At Shibuya Komuten, we provide transparent estimates and fair pricing. Our strengths:
• One-stop service from design to construction
• Collaboration with professional designers to create profitable spaces
• Partnerships with real estate agents to support property selection
We have completed numerous projects across Tokyo’s 23 wards, specializing in cafés, restaurants, bars, and concept stores.
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• Tokyo store construction cost
• Restaurant renovation cost per tsubo Japan
• Why are construction costs rising in Japan
• Shortage of craftsmen in Tokyo
• Contractor estimate risks Japan
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📩 Contact Shibuya Komuten
Do you want to know the true cost of building a store in Tokyo? Are you worried about a contractor offering suspiciously low estimates? Planning to open a café or bar in a skeleton property?
👉 [Contact Us Today] for consultation on design, construction, and property selection.