Given the risks though it is always smart to be prepared. Identifying potential hazards ahead of time and advance planning can greatly reduce the dangers of serious injury or loss of life from an earthquake.  Here is a short list of activities you can do right now to make your family better prepared and safer in your new home in Japan.

Having a Plan

One of the most important things you can do for your family to prepare for an earthquake is to have a plan.  Your plan should include the following:

1.         Centralize important information: Create a binder of home and cell numbers of anyone important in your life including work, school, neighbors, friends, friends who speak Japanese, building manager, relocation company, doctors and vets.  This list should also include the phone numbers of friends and relatives outside of Japan.

Include a list of hospital names and addresses (with maps).  Photocopy all passports, alien registration cards, immunizations, medical insurance, driver’s licenses, insurance policy, etc… and place inside the binder.  You should also consider emailing a scanned copy of these documents to a trusted family member outside of Japan for safekeeping.

Important info:  to call emergency, dial 119

Medical information services in English: 03-5285-8181

2.         Create a family evacuation plan and go over it with all members of the family. You should establish family meeting points with alternative sites in case your original site is not safe.  Designate a person outside of Japan to be the coordinator of information – it may be the case that local calls in Japan won’t go through but you can call internationally.  Have all family members know to call this person to report their location and condition.

3.         Stock up on supplies.  If a large earthquake were to occur closer to Tokyo, it is possible you may be without water and electricity for some time.  It is also possible that you will not have access to ATM machines and that gas for your car may be hard to come by.

• water supply of 4 liters per person per day for 10 days
• food supply for one week (food that doesn’t need to be cooked)
• cash on hand – between 50,000 and 100,000 yen
• keep your car filled with gas at all times

4.         Earthquake Kits – pre-made kits are available for purchase at http://www.quakekare.com/earthquake.html, or you can put your own together from the following list.  All of these supplies can be found at Tokyu Hands and/or Daiei.

• fireproof backpack to carry all the items
• band-aids, gauze, cotton, bandage
• masking tape, medical tape, scissors, tweezers
• towel, cloth to cover head or wrap wounds
• face mask, gloves
• bucket, rope
• waterproof flashlight
• batteries (and adapter for mobile phone)
• matches, candles
• ground cover, plastic bag, rain coat
• water

You should also consider adding these items;

• paper and pens
• toilet paper, liquid soap
• formula, diapers and wipes (for families with small children)
• copiers of your passports and alien registration cards
• cash

Depending upon how many people in your family, you may need to have several of these kits.  It’s a good idea to keep one in your car and the others at home close to the entry hall for easy access.

5.  Make your home safer now – there are many things you can do right now to make your home safer in case of an earthquake.

• purchase braces with spring poles to secure large furniture (these can be purchased at Daiei or Tokyu Hands
• keep low furniture in the bedrooms
• place a pair of shoes near each bed to use to escape
• arrange items on decks and patios carefully

What To Do If You Are In An Earthquake

When an earthquake strikes you may not always be at home in your known environment.  Here are some tips depending upon where you are:

Residential Neighborhood:  keep away from brick and stonewalls and vending machines.  Evacuate to nearest open area.

At the office:  protect your head, beware of bookshelves, and find a safe place in a corridor or lobby.  Do not go in an elevator, leave by the stairs.

At a supermarket or store:  cover your head and get clear of aisle displays.  Do not rush for the exit but leave calmly.  Do not use elevators.

Underground in a shopping center:  seek shelter near a wall or large pillar.  Do not panic.  Follow instructions to an exit.  In case of fire, crouch down, cover your nose and mouth with your clothing or a handkerchief and crawl along the wall to an exit – follow the direction of the smoke.

In a train:  the train may come to a sudden stop.  Do not attempt to exit the train through the windows or try to release the doors with the emergency door release handle.  Follow the directions of the conductor.  Underground is usually safer than above ground.

Outside on a shopping street:  protect your head with a bag or briefcase.  Take refuge in a safe building or open space.  Stay away from vending machines and wooden structures.  Stay away from fallen power lines.

Driving in a car:  slow down gently and pull over to the left hand side of the road and stop the engine.  Do not leave your car until the earthquake stops.  Listen to the radio for information.  When you leave the car, close the window and leave the key and the doors unlocked.

Important Links:

Tokyo Metropolitan Government Earthquake Survival Manual:

http://www.seikatubunka.metro.tokyo.jp/index3files/survivalmanual.pdf

Disaster Message Boards:  in times of emergencies, cell phone carriers allow customers to post messages so that others know of their situation:

http://mb.softbank.jp/scripts/english/disaster_message/index.jsp

http://www.au.kddi.com/english/notice/saigai_dengon/index.html

http://www.nttdocomo.co.jp/english/info/disaster/

Bubble period (1982 to 1990)

Real-estate prices across Japan rose by as much as six to seven times during the 1980s asset bubble. Confidence was strong as the Japanese economic model, often referred to as “Japan Inc.” seemed to be invincible. Japanese corporations awash with cash made speculative purchases of real-estate and corporate assets all over the world. At home in Japan, low interest rates and loose monetary policy fueled a strong economy and high stock prices.  Following the Plaza Accord in 1985, the yen appreciated from around 240 yen to the USD to about 120 yen in less than a year. In response, the Bank of Japan lowered interest rates from 5.5% down to 2.5% in 1987.  This dramatic easing of monetary policy at a time of economic strength sparked an explosion of real-estate transactions and high stock prices.  Adding fuel to the fire, the government under Prime Minister Nakasone, reduced corporate tax rates from 42% to 30% and slashed top marginal income tax rates from 70% to 40%. It was said at the time that the value of the Imperial Palace in Tokyo exceeded the value of all the real-estate in California. Land in Ginza 4 Chome was reported to have traded at JPY 90,000,000 ($750,000 at the time) per square meter.

Bubble burst

As asset prices reached extreme levels the government tried to slow the growing bubble and introduced policies which led to the bursting of the bubble.

In 1990 the Ministry of Finance put restrictions on the total loan volume of real-estate lending (Soryo-kisei) which caused an immediate and dramatic drop in the availability of credit.  Other government restrictions resulted in the need for buyers to seek approval from the local ward office for transactions of land size over 100 square meters. These restrictions brought the price rises to a grinding halt. The Bank of Japan also did their part tightening interest rates to peak of 6% in 1990.

In December 1989 the Nikkei average reached its all-time high of JPY 38,915. In the following nine months it crashed to below 20,000. Financial institutions were swamped with bad loans as asset prices tumbled.  Land prices were slower to react but eventually started dropping and continued to slide downwards for the next ten years.  By 1995 the Bank of Japan had dramatically reversed its monetary policy, slashing rates to a previously unthinkable 0.50% in a desperate effort to stem the slide of the economy and asset prices.

Mini Bubble (2002 to 2008)

The new millennium began but Japanese economy and asset prices failed to recover.  In signs of desperation the Bank of Japan cut rates further to 0.1% and began extreme monetary policy in the form of QE (Quantative Easing). Around this time the J-Reit market began and the newly listed investment trusts caused a flurry of activity in the property market.  In the early years of the new decade there were trillions of yen worth of securitized real-estate transactions done which lead to a mini “fund boom” in real-estate prices. These investment trusts focused their attention on assets in the major cities, prices in some parts of central Tokyo rose as much 70 to 100% compared to lows seen in 2002 but the overall market continued to languish.

Mini Bubble burst

By 2006 it seemed once again that a bubble was beginning so the MOF moved again to restrict investment real-estate loans. The global financial markets then took center stage as the US sub-prime loan scandal erupted in 2007 culminating in the “Lehman shock” of 2008.  Foreign investors disappeared from the Japanese real-estate market as the securitized non-recourse lending market ceased to exist.

Real-estate prices in Tokyo once again slumped but did not return to the lows of 2002. By 2010 prices managed to stabilize at levels around 50% above the lows.

Earthquake

On March 11, 2011 the Tohoku region of Japan was devastated by an enormous earthquake, tsunami and the melt-down of the Fukushima nuclear power station. Tokyo also experienced a large tremor but buildings and infrastructure were largely unaffected. Initially the real-estate market froze as buyers were very nervous to commit in the wake of the disaster.  As the situation stabilized and the recovery efforts in Tohoku commenced, real-estate transactions began again and the price level in Tokyo is basically unchanged from before the earthquake.

This inheritance related offering presents a rare opportunity to acquire land in this prestige location.  The land area is 69.14 tsubo (228.6 sqm) would allow construction of a significant residence of over 300sqm.  Long term residents of Tokyo and investors with an interest in establishing a residence in a prestige location should review this offering.

• Price :  JPY 298 million
• Land size :  69.14 tusbo  (228.6 sqm)
• Address : Minato-ku, Motoazabu 3 chome
• Access : Azabujuban (Namboku line) 7 minutes, Roppongi (Hibiya line) 14 minutes
• Road : 4.9m frontage of 5.4m public road, South East facing

Motoazabu is the hill in the center of Minato-ku, overlooking the lively streets of Azabujuban to the east and the Hiroo to the south west. Azabujuban is a charming area, popular for dining and shopping and home of the annual Azabujuban festival.  On the Hiroo side, exclusive shopping, the Tokyo Lawn Tennis Club and Arisugawa park,  well known as a natural oasis in the middle of Tokyo.

Please see details page here

We met with the builder last week just as he finished putting up the scaffolding. He told us he will get the frames up by the end of this week.  It sounded very aggresive to me but he seemed confident..  His little secret which became apparent is that the wood and steel frames arrive at the site already completely pre-cut.  The builders just have to  assemble the thing like a giant puzzle – so if they are good it can happen very quickly.

Here are all the pieces stacked up on the scaffolding early in the week and then..

Hey presto! All done..

 JIO is an independent company which provides insurance against defects in workmanship or materials for the structure of the house for the first 10 years. They need to make sure the correct amount of steel is being used in the foundations to ensure the strength of the structure.  Of course there is no problem with the inspection and on the 18th of July the concrete is poured.

By the next day the foundations are almost done.  We are running about 2 to 3 weeks behind schedule mainly because of our unlucky timing with the rainy season.  

Last weekend we took a couple of riders from Hakuba to test out the new range of “Liberty Skis” – free style skis from Colorado new to Japan this year.http://www.libertyskis.co.jp/

 I was sceptical at first – just how much skiing can you do inside what is effectively a big refrigerator ?  Suprisingly though, it works ! There heaps of boarders and ski maniacs there getting their summer fix of snow. Mostly it is the young boarders practicing jumps but there was also a good number of skiers both young and old.  Also a couple of little kids who were wickedly good.

Here are some shots of the Liberty riders. Takuma is look pretty serious – its been a couple of months without snow so the he is getting ready.

Bob is more relaxed – its been a long drive from Hakuba but hey dude - show me the snow..

Dan jumps straight in and goes for a quick run down the half pipe. 

wowow Bob gives it a shot but doesn’t seem pleased with the pipe. Time to test out the jump..

Takuma does a 720.. nice..

Anyway even if you are not as crazy as these guys, SNOVA is a pretty cool way to kill a hot day.

On the weekend it is Y3300 for 90 minutes or Y4000 for 4 hours, plus everyone pays a one off Y1000 membership fee.  Not cheap but then again it is snow in the middle of summer.

Here is the URL – check it out.

http://www.snovashinyoko.co.jp/top.html

TOKYO, July 1 (Reuters)
“Land prices in Japan fell 5.5 percent in 2008, marking the first decline in four years, a government survey showed on Wednesday, as the global financial crisis dealt a blow to the Japanese real estate market.”

Read the full article on reuters here

“A housing loan default problem is looming and likely to begin in the next few weeks. It amounts to the detonation of a ten-year time bomb that, researchers at the Tokyo Foundation say, started ticking around 1999 in the immediate aftermath of the Asian financial meltdown.”

Checkout the full article here

What is even more frightening is the proposal the Tokyo Foundation makes for the government to start buying the houses directly from defaulted borrowers.  The Goverment should have just cut the builders a cheque 10 years ago and saved everyone’s time. It is in Japanese but enjoy the madness here:

http://www.tkfd.or.jp/admin/files/200-03.pdf