Picture of Ichigo Hotel REIT Investment logo

3463 Ichigo Hotel REIT Investment News Story

0.000.00%
jp flag iconLast trade - 00:00
FinancialsConservativeSmall CapValue Trap

Quakes put chill in south Japan's hot spring tourism boom

By Junko Fujita 
    TOKYO, April 18 (Reuters) - A series of deadly earthquakes 
on Japan's southern main island of Kyushu is threatening to 
quash a nascent tourism boom, frightening away thousands of 
Chinese and other foreign visitors drawn to its hot springs and 
lush mountain landscapes. 
    The island is targeting a 75 percent increase in its 2 
trillion yen ($20 billion) tourism industry over the next seven 
years, said Makoto Takahashi, executive director at Kyushu 
Tourism Promotion Organization. 
    But China's foreign ministry has urged caution about travel 
to Kyushu in the near term and to avoid Kumamoto after the 
Kumamoto and Oita prefectures were hit at the weekend by a 
magnitude 7.3 earthquake and dozens of aftershocks.  
    "We were confident to achieve that (tourism) target until 
the region was hit by the quake," Takahashi said. "But it's hard 
to estimate how much longer we will be suffering the effects of 
the earthquake." 
    The number of foreign visitors to Kyushu surged 69 percent 
to a record 2.8 million last year, the Kyushu District Transport 
Bureau said, outpacing Japan's 47 percent rise to 19.7 million. 
    Prime Minister Shinzo Abe last month doubled Japan's target 
for foreign visitors to 40 million by 2020, as a weaker yen and 
easier visa regulations sparked a rush of foreign tourists, 
especially from China, seeking Japanese goods and sightseeing. 
    A major Kyushu attraction, the four-century-old Kumamoto 
Castle, was heavily damaged when Saturday's quake caused a large 
section of the stone wall underneath it to collapse. 
 urn:newsml:reuters.com:*:nL3N17J053 
    Oita Prefecture, east of Kumamoto, has Japan's largest 
number of hot springs at more than 4,300, made possible by the 
region's seismic activity. Hot springs elsewhere in Kyushu offer 
thick mud baths and hot sands where bathers are buried up to 
their necks. 
    Yufuin, an Oita town whose small, traditional-style luxury 
hotels had become a major draw for wealthy Asians, was almost 
empty on Monday. 
    "There are hardly any visitors here today," said Keiji 
Shono, an official at Yufuin-Onsen Tourism Association which 
groups 93 hotels and traditional Japanese inns. Some were 
damaged but no buildings were destroyed, he said.  
    Japanese real estate investment trusts that feature hotels, 
including Ichigo Hotel REIT Investment Corp  3463.T , down 6.6 
percent, and Invincible Investment Corp  8963.T , down 5.5 
percent, were the worst performers on Japan's REIT Market Index 
on Monday.        
 ($1 = 108.0400 yen) 
 
 (Reporting by Junko Fujita;Editing by Edmund Klamann/Ruth 
Pitchford) 
 ((813-6441-1840, junko.fujita@thomsonreuters.com, Reuters 
Messaging:junko.fujita.reuters.com@reuters.net;)) 
 
Keywords: JAPAN QUAKE/TOURISM

Recent news on Ichigo Hotel REIT Investment

See all news