The redevelopment of Shibuya Station in Tokyo is scheduled to unfold in three final steps: the station and its pedestrian network are to be substantially completed in fiscal 2030, Shibuya Scramble Square Phase II is to be finished in fiscal 2031, and the entire project, including Hachiko Square, is to be completed in fiscal 2034. Note that Japanese public and corporate schedules are expressed in fiscal years (年度, nendo), which run from April to March, so "fiscal 2034" means the period from April 2034 to March 2035. For property owners, the important point is not simply that new towers will rise. It is that the passageways, plazas, underground routes and elevated decks that make it easier to move north, south, east and west around the station will be put in order, and that this will change the way shops, offices and homes in the area are perceived.
This kind of project is distinctively Japanese. In many Western cities, a major rail hub is redeveloped by a single public authority, or a private developer builds one landmark tower next to an existing station. In Shibuya, private railway companies, a national rail operator, a subway operator and a public urban-renewal agency are rebuilding the station, the plazas, the walkways and large commercial buildings at the same time, while trains keep running every few minutes. For international investors, understanding this model is key to reading how value is created around Tokyo's major terminals.
In this article, we at INA&Associates Inc. draw on what we have seen in day-to-day property management to organize the "last wave of change" expected between fiscal 2030 and fiscal 2034, separating how the district will be used from how that will affect practical property decisions. Please read it as material for reassessing a property from the perspective of people who actually walk the streets, rather than from distances measured on a map. Currency conversions in this article use an approximate rate of USD 1 ≈ JPY 155 as of October 2026.
What Is the Final Chapter of the Shibuya Station Redevelopment?
Many people who change trains at Shibuya Station see the temporary hoardings and detours everywhere and wonder how long the construction will go on. According to official announcements, the station and the pedestrian network centered on it are to be substantially completed in fiscal 2030, Shibuya Scramble Square Phase II (the Central Building and West Building) is to be completed in fiscal 2031, and the whole project, including Hachiko Square, is scheduled for completion in fiscal 2034.
This is the Shibuya Station Block Plan (渋谷駅街区計画, Shibuya eki gaiku keikaku), promoted by Tokyu, JR East and Tokyo Metro. It advances the development of Shibuya Scramble Square, improvements to Shibuya Station, and the redesign of Hachiko Square and the East Exit Plaza all at once. It should be seen not as a single large-building project, but as a renewal of urban infrastructure that reorganizes the station, plazas, passageways and commercial facilities as one integrated system.
Compared with a typical redevelopment in the United States, the United Kingdom or Australia, where a transit agency upgrades a station and private developers separately build around it, the Japanese approach ties the railway, the public realm and the commercial floor space into one plan. That integration is why the effects on nearby real estate can be broad, and also why they take many years to appear.
Shibuya's Unique Challenge: A Valley Landscape
As its name, which contains the word for "valley," suggests, Shibuya is a district whose station sits at the bottom of a valley. Squeezed between the Miyamasuzaka and Dogenzaka slopes, the area has long been cut into north, south, east and west sections by rail lines and roads. The construction in the final chapter is also an attempt to reconnect these height differences and divisions with vertical circulation. That is why, once completed, Shibuya will become a district with multiple entrances that can no longer be explained simply as "the place with the Scramble Crossing."
We have already set out the overall picture of redevelopment in the Shibuya area in How the Redevelopment Around Shibuya Station Affects Property Values. This article focuses on the changes in the very last stage of that process.
Fiscal 2030: Changes to Transfers and to How People Exit into the City
The first change people will actually feel on the ground is ease of movement, rather than the height of the buildings. According to Tokyu's official page, fiscal 2030 will see the creation of a multi-level pedestrian network that connects the station with the north, south, east and west at street level and on elevated deck levels. At JR Shibuya Station, the ticket gates and concourses are expected to be largely complete, and a free public passage up to more than 20 meters wide connecting the east and west sides of the station is also to be built.
This work is meant to ease the divisions caused by Shibuya's valley terrain. If it becomes clear which level to walk on when heading toward Miyamasuzaka, Dogenzaka, Sakuragaoka or Meiji-dori Avenue, the psychological distance to a destination becomes shorter. For rental properties, even if the official walking time in minutes from the station does not change, the impression during viewings, how comfortable the walk is at night, and how easy it is to guide visitors in the rain will all change.
This matters more in Japan than in many other markets. Japanese property listings almost always state the walking time in minutes from the nearest station, and tenants and buyers compare properties on that figure. Unlike car-oriented markets, where parking and highway access drive location value, in Tokyo the quality of the walk from the ticket gate to the front door is a core part of a building's appeal.
On the Main Route or Off It
For shops and service businesses in particular, what matters is not only foot traffic in front of the ground floor, but also how a property receives visitors flowing in from the deck level and the underground level. Spaces that were once "close to the station but hard to explain" may rise in value as circulation is reorganized. However, spaces that fall outside the new main routes may become relatively harder to find unless their signage, entrances and reservation paths are redesigned. Changes in pedestrian flow can be either a tailwind or a headwind.
For investors, this means that two buildings at a similar distance from the station can see very different outcomes after 2030. Due diligence on a Shibuya asset should therefore include walking the new routes level by level, not just checking the address on a map.
Fiscal 2031: Scramble Square Phase II Will Change How Long People Stay
Shibuya Scramble Square Phase II (the Central Building and West Building) is scheduled for completion in fiscal 2031. According to official announcements, together with the already completed East Building, it will form one of the largest commercial facilities in the Tokyo metropolitan area, with up to about 6,000 square meters of retail floor area per commercial floor.
Expanding commercial floor space means more than adding places to shop. It makes it easier for people passing through the station to meet friends, eat, shop before or after work, or stop over during sightseeing, all within the same group of buildings. Shibuya has always had enormous pedestrian volumes, but movement inside and around the station has been complicated. When circulation and retail are connected, short stays add up, and the benefits are more likely to spread to surrounding shops.
In contrast to North American malls, which are usually reached by car and sit apart from transit, Japanese station-integrated retail is built directly on top of, or beside, rail terminals that handle very large daily passenger numbers. The commercial value comes from capturing people already in motion, which is why the connection between the station and the surrounding streets is so important for neighboring landlords.
Destination Visits or Walk-In Traffic
What owners need to look at is whether their property relies on destination visits or on walk-in traffic from people strolling around the area. If it relies on destination visits, it is important to improve the information on map apps, reservation pages and explanations of how to find the building entrance. If, on the other hand, it relies on walk-in traffic, you need to check which levels pedestrians' sightlines pass through and whether signs and shop windows are visible from the new routes. Even among properties in the same Shibuya district, the way to win is completely different.
Fiscal 2034: How Hachiko Square and the Station-Front Space Will Change
For the overall completion scheduled for fiscal 2034, the redesign of the station-front space, including Hachiko Square, will be a major focus. Shibuya City's public relations materials also state that construction around Shibuya Station is expected to be almost complete in Reiwa 16 (令和16年度), that is, fiscal 2034, and introduce the Hachiko Square Urban Core and three-dimensional pedestrian circulation as defining features of the new Shibuya. (Reiwa is Japan's current imperial era name, used in many official documents alongside the Western calendar.)
Hachiko Square is a meeting place, and at the same time the gateway to Shibuya where tourists, commuters and shoppers cross paths. If it changes from a simple space where people gather into a place that connects vertical movement with walking around the city, the meaning of "the center of Shibuya" will expand. This is because the station-front plaza, decks, underground passages and commercial facilities will overlap, creating a district with multiple entrances.
In real estate practice, this change should not be treated uniformly as a reason for rents to rise; it must be broken down by how each building is positioned to respond. Even an older building can become a more likely choice from the new routes if it improves the visibility of its entrance, the brightness in front of its elevators, the cleanliness of its common areas and its signage plan. Conversely, a building that is hard to guide people to will see its weaknesses stand out more as the surroundings improve, even if its location is good. We place importance on "honestly explaining the disadvantages, too" precisely because these individual weaknesses are what should be fixed first.
For overseas owners who manage from a distance, this is a practical warning. A Shibuya address will not automatically carry an aging, poorly maintained building upward. The redevelopment raises the standard that visitors compare against, and a building's first impression needs to keep up.
Project Overview and Key Points of the Infrastructure Works
| Item | Details |
|---|---|
| Project names | Shibuya Station Block Plan; Shibuya Station Block Land Readjustment Project (土地区画整理事業, tochi kukaku seiri jigyō, a Japanese method in which landowners pool and re-plot land to build roads and public space) |
| Main developers and implementing bodies | Tokyu Corporation, East Japan Railway Company, Tokyo Metro Co., Ltd., the Urban Renaissance Agency (UR), and others. Roles differ by individual project |
| Location | Around Shibuya Station, Shibuya City, Tokyo |
| Main uses | Station facilities, retail, offices, plazas, pedestrian network, urban infrastructure facilities |
| Site area and total floor area | As far as can be confirmed in published materials, the station block as a whole is not presented as a single set of building figures |
| Height and number of floors | The Shibuya Scramble Square East Building is already complete. Details of the Phase II Central and West Buildings need to be checked in the individual plans in official materials |
| Key schedule | May 2025: start of Phase II construction; fiscal 2030: station and pedestrian network substantially complete; fiscal 2031: Phase II scheduled completion; fiscal 2034: overall completion scheduled |
Unlike many Western projects, where a single master developer publishes one headline figure for floor area, a Japanese station-block plan combines several legal schemes and operators, so the published data is split across individual projects. Investors should read the official materials for each component rather than expect one consolidated fact sheet.
Key Points of the Public Facilities and Urban Infrastructure
Every piece of urban infrastructure built in the final chapter is directly relevant to owners' practical decisions. The table below sets out, item by item, the effect on the district and what owners should check.
| Infrastructure item | Effect on the district | What owners should check |
|---|---|---|
| East-west free passage | Moving between the east and west sides of the station becomes easier to understand, improving travel between the Miyamasuzaka side and the Dogenzaka side | Update the exits, rainy-day routes and nighttime routes used when guiding people to the property |
| Deck-level network | More people move above the crowded street level, changing how the second floor and above are seen | Review signage, window surfaces and entrance displays for upper-floor shops and offices |
| Underground passages and underground plazas | Transfers between rail lines and access to surrounding blocks improve | Arrange the customer route from underground, elevator locations and barrier-free guidance |
| Hachiko Square and East Exit Plaza | Meeting up, sightseeing, events and resting are reorganized | Shops nearby should recheck peak hours, queue positions and takeout demand |
| Disaster prevention and rainwater measures | The renewal of urban infrastructure, including underground storage tanks and plaza works, is expected to improve safety around the station | Check flood countermeasures, emergency guidance, and emergency supplies and notices in common areas |
The last row deserves attention from overseas readers. Because Shibuya sits in a valley, heavy rain collects around the station, and Japan's frequent typhoons and earthquakes make disaster preparedness a standard part of building management, not an optional extra.
Three Changes in Leasing and Sales Practice
The completion of the redevelopment is not just a story about market rents. It will change the very way day-to-day work is done: how vacancies are explained to prospects, the order in which renovations are carried out, and how exit decisions are made.
In markets such as the United States, a major transit upgrade is often discussed mainly as a valuation event. In Shibuya, it is just as much an operational event, because the details of how tenants and customers reach a building will be rewritten.
First, How Properties Are Explained to Prospective Tenants Will Change
Even for properties that until now were marketed only with a line such as "X minutes' walk from Shibuya Station," it will become important to explain "which ticket gate to use, which level to walk through, and which exit to take." Simply improving the route used for viewings may change the impression of the same property. Adding just one line with a recommended route to the listing sheet may make a difference to the closing rate.
Second, Renovation Priorities Will Change
Rather than competing with large new buildings on luxurious interiors, older buildings in particular should first improve their entrances, common corridors, toilets, elevators and building nameplates. In Shibuya, visitors' expectations will rise, so the "impression of not being managed" becomes a weakness more than age itself. This way of thinking about management quality also connects with How to Choose a Rental Management Company and Judge Management Quality.
Third, the View of Exit Strategy Will Change
Should you wait for completion in fiscal 2034 to sell, renovate and replace tenants before the pedestrian network is substantially completed in fiscal 2030, or consider a change of use? The timing of the redevelopment's completion overlaps with the timing of decisions to hold, sell or refinance. As discussed in How Redevelopment in Central Tokyo Affects Property Values, redevelopment is priced in not only after completion but also through the expectations that build up before it.
For foreign investors, the long Japanese timeline is both an opportunity and a discipline. A project that has been under construction for many years offers several entry and exit windows, but each one should be matched to the specific milestone that affects the building in question.
Small Improvements to Start With and Cost Guidelines
There is no need to think that "only a major renovation is worthwhile." In fact, making small improvements to the parts that shape visitors' first impressions tends to be more cost-effective. The figures below are only general guidelines and vary considerably depending on scale, specifications and the timing of the work. Before making an actual investment decision, always obtain quotes from several companies and check market prices.
| Improvement | Aim | Cost guideline |
|---|---|---|
| Updating the building nameplate and directional signs | Increase visibility from the new routes | From several tens of thousands of yen to several hundred thousand yen (roughly USD 200 to a few thousand dollars, depending on scale) |
| Switching common-area lighting to LED and adding fixtures | Improve the sense of safety and cleanliness at night | From several tens of thousands of yen to several hundred thousand yen (roughly USD 200 to a few thousand dollars) |
| Cosmetic upgrades to the entrance and common corridors | Secure the impression that the building "is well managed" | Around several hundred thousand yen is one benchmark (roughly USD 2,000 to USD 6,000) |
| Improving the viewing route and photos | Lift the impression before a contract is signed | Can be done with little more than time and effort |
Even an investment of several hundred thousand yen is by no means a low priority when you consider its effect on asking rents and on how quickly a lease is signed. Rather than rushing into large investments, we recommend starting with small improvements whose effects are easy to see.
These amounts are modest by international standards, which is one reason why small, well-targeted upgrades can be an efficient way for overseas owners to position an older Shibuya building for the changes ahead.
What Owners Should Do Now Ahead of the Shibuya Station Redevelopment
Fiscal 2034 may seem far away, but when you think on the timelines of lease contracts, renovations and preparing for a sale, the preparation period is not long. It is a good idea to proceed with your review in the following order.
Japanese leases generally run on fixed terms with renewal dates, so the decisions you make now will shape the tenant mix that is in place when the new routes open.
- Check your current tenant mix and separate the types of business that suit the new pedestrian flows from those that do not.
- Photograph the building's entrance and common areas and check whether a first-time visitor would get lost.
- Align the timing of rent revisions, renovations and sale appraisals with the three milestones of fiscal 2030, fiscal 2031 and fiscal 2034.
The fact that the final chapter of the Shibuya Station redevelopment will change the district also means that the criteria for valuing properties will change. It is not only about being close to the station, but about whether people can get there easily, whether it is comfortable to stay, and whether the building is properly managed. We believe that people are our greatest asset, and the same applies to properties. Buildings that are cared for and dealt with honestly are the ones that can turn changes in the city into a tailwind. Owners looking ahead to completion in fiscal 2034 should reassess their properties from the perspective of people who actually walk there, not from distances on a map. If you have any questions, please also see our list of columns.
Frequently Asked Questions
When will the Shibuya Station redevelopment be completed?
According to official announcements, the station and pedestrian network are to be substantially completed in fiscal 2030, Shibuya Scramble Square Phase II is to be completed in fiscal 2031, and overall completion, including Hachiko Square, is scheduled for fiscal 2034. However, because this is a very large project, we recommend checking the schedule in official materials from time to time.
Will property prices definitely go up?
That cannot be said across the board. Better walkability around the station is a positive factor, but valuations of individual properties differ depending on building age, state of management, how easy the entrance is to find, tenant demand and rent levels. The more the surroundings improve, the more the weaknesses of poorly managed buildings tend to stand out.
Can older buildings also benefit from the redevelopment?
Yes. However, this assumes improvements to common areas, signage, lighting and the entrance route. Check whether the building's first impression keeps up with the new station-front space. Whether a building is cared for matters more to its valuation than its age itself.
Should I carry out a major renovation right away?
Starting with small improvements is enough. A realistic approach is to inspect the building nameplate, directional signs, common-area lighting, toilets and viewing route, and then make investment decisions step by step in line with the changes in pedestrian flows from fiscal 2030 onward. Always obtain quotes from several companies and check market prices for the costs involved.
Sources and References
- Tokyu Corporation (東急株式会社), "Shibuya Station Block Plan Enters Its Final Chapter" (May 9, 2025)
- Tokyu Corporation (東急株式会社), "The Final Chapter of the Station Block Plan"
- SHIBUYA FUTURE: Shibuya Station Block Land Readjustment Project
- Shibuya City (渋谷区), "Meeting Materials of the Coordination Council on the Development of the Shibuya Station Area"
- Shibuya City (渋谷区), "Turning the 'Deep Valley' into an Attraction with Elevated Walkways and Three-Dimensional Circulation"
