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Mega Housing Project in Niseko Sparks Local Pushback

HOKKAIDO, Sep 08, 2025 (News On Japan) - A major housing construction plan is underway in Hokkaido’s Niseko area, one of Japan’s most popular destinations among foreign residents. The project, centered in Kutchan, a town with the nation’s fastest-growing foreign population, has stirred mixed reactions among locals, with over 4,000 people signing a petition in opposition.

Town councilor Hidetoshi Sato pointed to the planned site, farmland the size of four soccer fields with views of Mount Yotei, where around 30 apartment blocks are expected to rise. The project would provide living space for up to 1,200 people—nearly 10 percent of Kutchan’s population.

Niseko has seen a sharp rise in foreign workers in recent years, particularly seasonal staff at ski resorts. A French worker at a local bar explained, “I’ve been in Niseko for about two years. I share a house with three others for 30,000 yen a month.” Nearby Kutchan, about 10 minutes by car, has also attracted many foreign residents, pushing prices for food and lodging into so-called “inbound” levels, with hamburgers exceeding 8,000 yen and sashimi platters selling for 30,000 yen.

According to the Ministry of Internal Affairs and Communications, Kutchan ranked first nationwide in terms of growth in foreign residents, gaining 833 more in 2024 alone. As of January 2025, the number was nearly 2,000 higher than two years earlier.

The developer insists the project is “not specifically for foreign workers” but simply an apartment complex that naturally attracts foreign residents because of local labor demand. Sato rejected the claim, calling it “frankly, sophistry,” and urged the company to consider building in suburban areas without nearby neighbors and operating shuttle buses to and from workplaces.

Some locals expressed worries over noise, garbage, and the transient nature of winter-only residents. One resident said, “At night, it feels unsafe to even sleep. They come for half a year, then leave when the snow melts.” Another voiced concern about disputes over noise and waste in the town center. Opposition groups submitted 4,315 online signatures against the project to the Hokkaido government on September 2nd.

Yet not all residents oppose the plan. Some welcomed the idea, citing the town’s shortage of housing and soaring rents—often as high as 80,000 yen even for small apartments. Others emphasized the benefits of foreign visitors and seasonal workers in driving economic growth, saying the community should find ways to coexist.

The Hokkaido government is now reviewing an application to convert the farmland for residential use and is expected to decide on the permit by mid-October.

Source: FNN

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