News On Japan

Tourism Boom Transforms Furano, But Not Everyone Is Happy

SAPPORO, Feb 27 (News On Japan) - Furano, a town in central Hokkaido long known as the "navel" of the region, is experiencing a surge in inbound tourism. Once overshadowed by Niseko, Furano has now become a hot spot for skiers and snowboarders seeking pristine powder snow.

Foreign investment has also poured in, attracting the attention of wealthy individuals worldwide. However, this rapid influx of foreigners has led to increasing friction with local residents. Soaring land prices, rapid urban changes, and concerns over over-tourism have forced some locals to relocate. The benefits and drawbacks of this tourism boom are becoming ever more apparent.

On January 14th, a woman stepped out of a luxury minivan to inspect a property for sale in Higashitorinuma, Furano. A member of a Korean conglomerate family, she was considering purchasing the house as a vacation home while also keeping short-term rentals in mind. "This place has large windows with great views—perfect for a living room," she remarked to Hideyuki Ishii, president of the Otaru-based real estate company Nihon Shintatsu. The property, a remodeled two-family home, sits on an 800-square-meter plot. The seven-bedroom, two-story house is located 10 kilometers from the ski slopes in Furano’s Kitanomine area and 8 kilometers from Furano Station. Priced at 68 million yen, negotiations quickly became intense.

"The price is reasonable, and it can be used for short-term rentals. Can we lower it a bit?" the Korean investor asked. "There are also exchange rate and payment considerations, so we need to evaluate the options," Ishii responded. That day, the investor toured two properties in Furano before heading home, still undecided.

Furano now hosts approximately 250,000 foreign overnight guests annually—4.2 times more than a decade ago and 1.7 times the pre-pandemic level. Kitanomine, at the base of Furano’s ski resort, has seen an influx of foreign capital, with new condominiums and hotels under development. In March last year, the district recorded the highest residential land price increase in Japan. Over the past five years, land prices have skyrocketed fivefold. Some plots are now selling for 2.5 million yen per square meter, with certain properties exceeding 100 million yen.

Ishii, who began investing in Furano seven years ago and now owns 200,000 tsubo (approximately 660,000 square meters) of land and properties in the area, sees immense potential. "Furano is just 50 minutes by car from Asahikawa Airport and two hours from New Chitose Airport. A day trip from Tokyo is possible. Summer brings lavender fields, and winter attracts snow sports enthusiasts, ensuring year-round tourism. Moreover, proximity to Asahikawa, Hokkaido’s second-largest city, makes it easier to secure workers," he explained.

Kitanomine is filled with "FOR SALE" signs, and foreign-language signage dominates the townscape. Restaurants are packed with international visitors, creating a bubble-like atmosphere. At El Asador, a steakhouse just five minutes from the ski slopes, reservations have been fully booked from mid-December to late March. "Our 300-gram, 7,800-yen A5-ranked 'Furano beef' steak sells at least five times a day," the owner said with a smile. Meanwhile, at the dining bar AJITO, nearly all 40 seats are taken by foreigners within an hour of opening at 5 p.m. "We get about 100 customers every day," said owner Takeyuki Nii. There are no traces of the COVID-19 slump here.

Furano’s population has declined from 23,000 a decade ago to 19,000 today, but the number of foreign residents has quintupled from 120 to 630. As their numbers grow, tensions with long-term residents have become more apparent. In Furano, garbage must be sorted into 14 categories. However, in Kitanomine, unsorted waste is frequently left uncollected, requiring neighborhood volunteers to clean up. "If left unattended, crows scatter the trash. Residents and neighborhood association members take turns cleaning up," a Kitanomine resident explained.

Some foreigners have also been seen skiing or snowboarding on public roads between the slopes and their accommodations, posing a danger to cars and pedestrians. "I understand walking is a hassle, but it’s dangerous. At the very least, they need to follow the rules," said local business owner Shuichi Ohashi, 48.

The issues extend beyond garbage. Furano’s picturesque landscapes, including lone trees atop rolling hills, often attract trespassing tourists. Many of these sites are private farmland, leading to complaints from property owners. "If pests or pathogens are brought in via shoe soles, it could devastate crops. Farmers don’t want their land turned into tourist attractions," warned a city tourism official.

The number of foreign tourists involved in backcountry skiing accidents continues to rise. While there were three incidents last season, this season has already seen nine cases by the end of January, over half involving foreigners. On January 16th, a 72-year-old American doctor was stranded in a blizzard. A Hokkaido police helicopter was dispatched to locate and rescue him 15 hours after the distress call. If this had been a private rescue, the cost would have been approximately 2 million yen—10,000 yen per minute of flight time and 50,000 yen per rescuer per day. However, since the rescue was handled by Hokkaido police, it was covered by taxpayers. "Most of these tourists are dressed for regular skiing, with no proper gear or food supplies. To professionals, this is reckless," a senior police official stated in frustration.

Despite the booming economy, labor shortages are becoming severe. The job-to-applicant ratio for service industries in Furano is 3.15. According to Hello Work Furano, the hospitality and caregiving sectors are particularly struggling, with some hotels unable to operate at full capacity due to a lack of staff. "Furano’s labor market was previously self-sustaining. Now, with the inbound tourism surge, competition for workers has intensified," said Takahiro Gyoten, head of the local employment office.

A survey of 407 local high school students revealed that 71% planned to leave the area after graduation. Since Furano lacks universities, most students move elsewhere for education and rarely return. To counteract this, Furano has been hosting corporate job fairs twice a year. Moving forward, the city plans to introduce hands-on job experiences to help students better understand local employment opportunities.

"In the past, our neighborhood association had nearly 40 members. Now, we’re down to five. Most have sold their homes and left," said Ohashi. "Small, charming structures like waterwheels have disappeared. There are plenty of stylish new buildings, but I preferred the old Furano," another resident lamented.

As the town continues to evolve, residents struggle to come to terms with the rapid changes.

Furano, once the idyllic setting for the drama Kita no Kuni Kara, is now nearly unrecognizable. Foreign investment has transformed Kitanomine into another Niseko, with real estate prices soaring to bubble-era levels. While the town’s future remains promising, the voices of longtime residents—those who feel left behind—should not be ignored.

What should we expect from "the next Niseko"? Only time will tell.

Source: 北海道ニュースUHB

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