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Market Analysis

Tokyo Short-Term Rental Occupancy: The Real Picture

Don't optimize for the wrong metric — here's what actually drives profit

  • Introduction
  • Tokyo Area Occupancy Benchmarks
  • Area-by-Area Occupancy Benchmarks
  • KPI Priority Framework
  • Target KPI Benchmarks

When running a short-term rental in Tokyo, occupancy rate is the first metric most owners track.

However, fixating on the Tokyo-wide average misses the point. Targets vary significantly by area, property type, and pricing strategy.

Tokyo Area Occupancy Benchmarks

Average occupancy trends and characteristics by major area.

Asakusa / Ueno

75%

Shinjuku / Ikebukuro

68%

Shibuya / Ebisu

65%

Tokyo Average

67%

※ Figures are indicative. Actual results vary by property and management quality.

Area-by-Area Occupancy Benchmarks

Asakusa / Ueno

Tourism-focused. High occupancy but moderate ADR.

Shinjuku / Ikebukuro

Mixed business and leisure. Consistently stable occupancy.

Shibuya / Ebisu

Younger demographic and tourism demand. Strong ADR, high competition.

Shinagawa / Ota-ku

Airport access advantage. Popular with international transit travelers.

KPI Priority Framework

The three most important metrics for short-term rental success in Tokyo

RevPAR

Revenue per available room — the most important profitability indicator.

ADR

Average daily rate. Improving ADR has a direct and powerful impact on revenue.

Occupancy Rate

Occupancy. A target range of 65%–75% is typical for most Tokyo properties.

Target KPI Benchmarks

Minimum Viable65% Occupancy / ¥8,000 ADR
Baseline68% Occupancy / ¥12,000 ADR
Target75% Occupancy / ¥15,000 ADR
High Performance80%+ Occupancy / ¥18,000+ ADR

Adjust based on your property type and area

Table of Contents

  • Introduction
  • Tokyo Area Occupancy Benchmarks
  • Area-by-Area Occupancy Benchmarks
  • KPI Priority Framework
  • Target KPI Benchmarks
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