FILE Image: A employee is observed at the design site of Athletes’ Village for Tokyo 2020 Olympic video games, which will serve as household apartments after the Olympics in Tokyo, Japan, September 27, 2018. REUTERS/Toru Hanai

TOKYO (Reuters) – Price ranges of recently-created apartments in the Tokyo space rose 1.7% very last calendar year, approaching the report highs witnessed in the course of Japan’s asset-inflated bubble era that ended in the early 1990s, the country’s Serious Estate Economic Institute reported.

Increased construction charges thanks to preparations for the Olympics and popularity of large-rise condominiums in formerly industrial waterfront spots aided drive the average apartment price up to 60.84 million yen ($586,410), the greatest because 1990 when it arrived at a document 61.23 million yen.

The most highly-priced device was a 690 million yen ($6.65 million) condominium in Daikanyama, the real estate info and consultancy organization stated.

The variety of gross sales fell 12.8% from a year earlier to 27,228 models, however, down all-around 70% from 1990 levels.

Serious estate site Suumo stated in a report very last week that low fascination prices and tax breaks served maintain assets demand from customers amid the coronavirus outbreak.

Contrary to folks in other massive metropolitan areas this kind of as New York which saw an exodus to the suburbs throughout the coronavirus pandemic, Tokyo inhabitants appeared additional intrigued in shifting to new developments in central destinations to minimize their commuting instances, it stated.

The Tokyo stock market’s Nikkei 225 normal rose all-around 16% very last yr.

Reporting by Ritsuko Ando Modifying by Jacqueline Wong