No slowdown in redevelopment of Roppongi

A fresh wave of development in Tokyo is cementing the transformation of Roppongi's image from a sleazy playground for wealthy foreigners to their base of operations.

Although high-end shopping and office complexes have been completed in the Roppongi district in recent years, the redevelopment boom shows no signs of slowing down.

The central government's designation of the district as part of an international financial base to woo foreign-affiliated financial institutions has fueled the redevelopment plans.

A project on 8.1 hectares of land was started when a group of landowners and lease holders in Roppongi 5-chome's west section set up a preparatory association in late March. The new project would exceed the size of the 7.8-hectare Tokyo Midtown complex that opened in the same district in March 2007.

Mori Building Co., a leading real estate developer, serves as the secretariat of the association. The project will include office buildings, commercial complexes and residential and educational facilities.

Mori Building in June also plans to begin full-scale redevelopment of a 2-hectare zone in the Toranomon-Roppongi area.

One of the landmarks there will be a 46-story office building with four basement floors. The realtor plans to complete the project in fiscal 2011.

In addition, Mori Building is moving forward redevelopment of the neighboring 4-hectare Toranomon-Azabudai zone.

"Tokyo would fall behind amid international competition unless it fast improves its urban infrastructure," said Minoru Mori, president of Mori Building.

His company is not the only one active.

Sumitomo Realty & Development Co. is working on a face-lift of a 2-hectare plot in Roppongi. The main feature of the project will be a revamped Roppongi Prince Hotel, which Sumitomo Realty bought in 2006.

The central government has designated the area encompassing Roppongi, Shinbashi and Akasaka as an international financial base, along with the area surrounding JR Tokyo and Yurakucho stations.

To promote redevelopment, the government has eased rules on the floor-space ratio of office buildings, allowing for taller buildings to be constructed.

The entities there will also be given preferential treatment on fixed asset taxes.(IHT/Asahi: May 6,2008)