Companies of Aichi origin will concentrate at Nagoya Station before Japan is introduced in 2027
More companies in Aichi Prefecture are moving to headquarters in areas near Nagoya Station to take advantage of the maglev line debut. | CHUNICHI SHIMBUN
As the Maglev line is scheduled to be launched in 2027, connecting Tokyo and Nagoya, companies in Aichi Prefecture will move more from headquarters to Nagoya Station to take advantage of this convenient location.
Even without a maglev, Nagoya Station is the main transportation hub of the Chubu area, accommodating a variety of routes including Tokaido Shinkansen and Nagoya Railroad Co. The latter connects the station with Chubu Centrair International Airport.
Building materials manufacturer Aica Kogyo Co. moved its headquarters from Kiyos to JP Nagoya, a 40-story building directly in front of Nagoya Station, in January last year.
"Compared to moving before, we have been more comfortable going on business trips to and from the country and interacting more with our customers," said Aica Kogyo.
As the country's labor shortage worsens, attracting large graduates will also have the advantage of keeping large offices in the metropolitan areas where businesses are concentrated.
Sun Corp. moved its headquarters from Konan in January last year to the Global Gate, an office complex rebuilt in Sasashima district near Nagoya Station.
Bronco Billy Co., a fry chain in Nagoya bought the building near Nagoya Station and moved its headquarters there in March from Meito Ward, a residential area in eastern Nagoya. It also brought its own cooking training center in Kasugai.
OKB Payment Plat Co., a fintech service provider affiliated with Ogaki Kyoritsu Bank In March, Ogaki House moved to a building in front of Nagoya Station in Gifu Prefecture. The new headquarters "is suitable for gathering the latest information related to our business," a company official said.
However, according to Tokyo Shoko Research, the number of newly established companies around Nagoya Station is declining. The number of headquarters in the Meieki and Nagono districts east of the station fell to only one in 2018, 19 in 2015, 15 in 2016 and 10 in 2017.
Major Office Broker Miki Shoji Co. According to the Nagoya branch, Meiek had an average rent of 13,600 ts per tsubo (3.3 square meters) in March, the highest since 2002, when comparable data were available. Rental homes have risen 10 percent over the past five years.
"Office vacancy rates are declining and rents are rising, making it difficult for start-ups to rent an office (downtown)," said Shinya Kawaguchi, a branch representative.