“If you can’t solve a problem, make it bigger.” This oft-repeated maxim (and mistakenly coined for Dwight D. Eisenhower) can be good advice when it comes to housing: Expanding the scope of a problem can make new solutions possible. Japan is the world’s best example of an advanced industrial democracy with an abundance of affordable, low-carbon housing.
To build. The key to Japan’s success is its unusual degree of national control over zoning and building rules. Centralized authority trumps local housing obstructionism. Tokyo builds more housing in a year than all of California or all of England, which have 3 or 4 times its population. In the world’s largest megalopolis, the way to keep rents low in the long term is to build.
National decisions. Political scientist Grant McConnell wrote about the classic articulation of the view that the national government is more likely to solve difficult problems than state or local governments. Small can be beautiful, the reasoning goes, but it can also be provincial, backward and oligarchic. This logic fits well with the housing issue: Putting much more at stake, all at once, in one big fight, rather than piece by piece in hundreds of separate local fights, could disrupt the housing war.
More homes around the world. The world has provided some examples of this. Japan has had extraordinary success in housing construction. He has long been a leader and expanded his leadership even further in recent years. Germany, Austria and Switzerland have always had good records, behind Japan but still performing well. France has stepped up, at least in Paris.
These countries generally employ rule-based (or “by right”) building permit systems: if your plans check the stipulated boxes, building authorities have no choice but to sign.
The Anglo-Saxons. On the other hand, English-speaking countries, including Australia, Canada, the United Kingdom, the United States and New Zealand, are lagging behind. Their permitting systems are often more discretionary, giving local officials the power to approve or reject buildings at will. In many parts of these countries, especially their large cities, housing is expensive because it is scarce. For now, the Anglosphere suffers the worst housing shortages and prices.
The Japanese case. The Asian country is the best example of the maxim of “magnifying” problems. Japan’s national government controls the use of land and buildings to a greater extent than national authorities in other countries. This control has grown in recent decades, even as other nations have gone into lockdown.
The number of homes built per year in industrial democracies has fallen by more than 60% since 1970, according to The Economist. Meanwhile, housing construction in Japan has remained strong throughout, broad public interest in abundant housing triumphing over obstructionism.
What did they do? To boost construction and lower prices, Japan redoubled efforts to allow more housing construction. He resorted, in particular, to administrative changes in building codes. “To help the economy recover from the bubble, the country eased regulation of urban development,” explained Hiro Ichikawa, a developer development adviser, in the Financial Times. “If it hadn’t been for the bubble, Tokyo would be in the same situation as London or San Francisco.”
Build, build and build. The results – in abundant housing, low prices, and low-carbon, walkable, transit-centric urban forms – are remarkable. The city of Tokyo had 13.5 million residents in 2018. But the city built 145,000 new residences that year. Tokyo’s achievement was particularly surprising considering that the prefecture has very little vacant land, so almost all of those 145,000 homes were located in an existing neighborhood.
The astonishing pace of housing construction in the capital has continued for years. Tokyo routinely builds more new homes than all of California (which has three times its population) or, in some years, all of England (which has four times its population). It has increased housing construction by 30% since the turn of the century, even as its population peaked and began to decline in 2007.
disposable houses. It’s true that Japan demolishes homes much earlier than other industrialized countries, so a large portion of its housing starts are replacement housing. But Japan’s much-criticized “throwaway house” culture is actually one of the secrets to its success. Japan’s rigorous and up-to-date earthquake safety laws, plus a cultural attachment to new homes, mean that tiny houses in Japan often depreciate completely in just 30 years and are replaced soon after.
Because housing is renovated quickly, the country has a much better chance of installing larger buildings. In parts of the US, where buildings typically have an economic life of 100 years, you only have one chance per century to replace a house with an apartment building. In Japan, you get three.
More housing. The prefecture has tripled its stock of housing over the past 50 years and has expanded the number of residences in the city by about 2% annually since 2000. In fact, its overall housing unit growth rate was three times faster than that of London or New York in the 2010s. Among the 14 megacities around the world, only Singapore and Seoul surpassed Tokyo in the pace of overall housing growth. Thanks to the Japanese program to govern housing, Tokyo Prefecture and the world’s largest metropolis have completely avoided residential closures.
Japan seems to have learned the maxim attributed to Eisenhower: if you can’t solve a problem, make it bigger.
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Imagen | Yu Kato
