Investment Opportunity in Chatan: A 292㎡ Military Land Parcel
This listing presents a unique investment opportunity: a 292 square meter parcel of military land located in Sunabe, Chatan Town, Okinawa Prefecture. The land is currently leased to the government, offering a stable and secure income stream. The asking price is 29 million yen.
The property's key financial metrics are detailed in the agent's notes. It offers a surface yield of 1.72% and an annual land rent appreciation rate of 1% (as of Reiwa 6). For inheritance tax purposes, the assessment multiplier is 3.5, with the inheritance tax assessment value calculated as the fixed asset tax value multiplied by the assessment multiplier and then reduced by 40%. The land is situated within a fenced area, with a per-square-meter land rent of 1,707.81 yen. Critically, the annual land rent of 500,000 yen is paid by the national government, guaranteeing no payment delays. The scheduled return date of the land to the owner is undetermined.
The listing includes a revealing survey on why investors purchase military land. Reasons cited include planning for future inheritance taxes and providing for family, the stable income from a tenant (the government) that never defaults, the compound effect of annual rent increases, the desire for a hands-off investment to build assets easily, the low-risk, low-return profile being suitable for real estate investment beginners, and the return being better than bank interest rates for asset reallocation.
The area of Sunabe in Chatan is renowned for its beautiful coastline and is a popular spot for locals and tourists alike, famous for its sunset views over the East China Sea. A major landmark nearby is the sprawling Kadena Air Base, one of the largest U.S. military facilities in the region, which underscores the strategic nature of land in this part of Okinawa. The property represents a specialized asset class, combining location with a government-backed lease for investors seeking a predictable long-term holding.
