This article is for overseas readers who are considering buying property in Japan or already own it, especially those looking at homes in cities such as Tokyo, Osaka and Fukuoka.
On 23 October 2026 the Japanese government submitted to the extraordinary Diet session a bill amending the Important Land Act (重要土地等調査法). Transfers of ownership of land and buildings within roughly 1,000 metres of certain Self-Defense Forces and other key facilities, and on uninhabited border islands, would need prior permission, with no minimum area and regardless of nationality. As of 3 November the bill was still in the House of Representatives, had not been referred to committee and had not been passed.
Will this affect ordinary overseas buyers? We asked Hayden, Senior Property Consultant at J Property 株式会社, an Osaka-based firm with offices in Hong Kong and Macau that helps Hong Kong and Macau buyers with Japanese property.
Key points
- Who should read this: overseas individuals and companies buying or holding property in Japan, particularly near Self-Defense Forces bases or Japan Coast Guard facilities, or on outlying islands.
- Where things stand: the bill was submitted on 23 October and has not yet been passed. It would take effect on a date set by Cabinet Order within 18 months of promulgation. The new permission zones (“regulated zones”) have not been designated.
- What changes: inside a regulated zone, any transfer of ownership of land or buildings would need prior permission, with no minimum area. Transfers without permission would be void and could not be registered; leases would need to be reported after the fact.
- The expert’s view: Hayden believes the zones target specific locations and overlap little with the city residential areas overseas buyers usually choose. Even inside a zone, the most direct change would be an extra permission step and possibly a longer transaction.
- What to do now: until the bill passes, transactions follow the current rules. Buyers can check the Cabinet Office’s published zone maps and ask their agent to confirm the property details.
1. What does the bill change, and which land needs permission?
The permission system applies only to new “regulated zones”, not to all property in Japan. According to the Cabinet Office’s outline of the bill, two kinds of area can be designated as regulated zones:
- Roughly 1,000 metres around defence facilities with precision equipment such as fighter aircraft and radar, and around Japan Coast Guard facilities.
- Uninhabited border islands.
| Item | Current system | Bill (regulated zones) |
|---|---|---|
| Acquiring land and buildings | In Special Monitored Areas, 200 m² or more: notification before contract | Prior permission for any transfer of ownership; no minimum area |
| Who is covered | Regardless of nationality | Regardless of nationality, including Japanese individuals and companies |
| Leases | No notification | Notification after the fact |
| Failure to comply | Possible penalties | Transfer without permission is void and cannot be registered; penalties apply |
Table: Cabinet Office outline of the bill amending the Important Land Act
Under the outline, permission would in principle be refused to foreign governments, government bodies and political parties; people currently engaged in the activities of foreign armed forces; people obliged under foreign law to cooperate with foreign armed forces or government intelligence activities; and companies controlled by any of them. If a company acquires land in a regulated zone through a merger and later falls into a refused category, the government could order it to transfer the land to a third party within one year.
The bill also adds the Imperial Palace, the National Diet Building, the Prime Minister’s Office and the buildings of crisis-management agencies to the list of important facilities for “monitored areas”. Monitored areas are part of the existing system for monitoring land use and are different from the regulated zones that require permission; whether and how far areas around these facilities are designated depends on later government decisions.
2. What would change in practice for ordinary overseas buyers?
Hayden expects little overlap with popular residential areas.
“The proposed rules mainly target specific areas around military facilities and some remote border islands, not entire cities. Based on the designated areas announced so far, the overlap with the residential areas popular with overseas buyers is fairly limited, so we expect the impact on the overall market to be small.” (translated from Chinese)
Property inside a regulated zone would face an extra step. Hayden explains: “Based on the direction announced so far, even if a property is inside a newly regulated zone, the most direct change would be an extra permission step added to the usual purchase process, and the transaction may take longer. The specific arrangements are still to be announced by the government.” (translated from Chinese)
The outline does not say how long the permission review would take or which documents would be needed. With no minimum area inside regulated zones, small flats there would also be covered. Which facilities will have regulated zones around them will only be known after the bill passes and the government designates them. Buyers looking at property near Self-Defense Forces bases, Japan Coast Guard facilities or on islands should watch these designations most closely.
3. Before the bill passes, what should buyers check?
The new system is not in force; purchases follow the current rules, and buyers can check the Cabinet Office maps first. Hayden explains: “The new law has not yet taken effect, so buying and selling property in Japan still follows the current law and usual procedures. … If you want to learn more about the relevant areas, you can refer to the ‘monitored areas’ map published on the Cabinet Office website, but this does not represent the final scope of the future system.” (translated from Chinese)
Under the current law, for land or buildings of 200 m² or more in a Special Monitored Area, both buyer and seller must notify the Cabinet Office before signing the contract. This is a notification, not a permission.
| What to check | How |
|---|---|
| Is the property in a monitored or Special Monitored Area? | Check the area designations on the Cabinet Office Important Land Act website |
| Are there Self-Defense Forces or Coast Guard facilities nearby? | Compare with the maps; new regulated zones depend on designation after the bill passes |
| Is a notification needed under the current law? | Ask the agent to confirm area and zone, and notify before the contract if required |
| Progress of the bill | Follow the House of Representatives and House of Councillors bill pages and Cabinet Office notices |
Table: based on Cabinet Office materials and the current law
The fundamentals still matter most. Hayden says: “For us, what matters most when buying in Japan is still location, rental demand, property management and resale potential. There is no need to rush to change your purchase plans because of a policy that has not yet been implemented.” (translated from Chinese)
For example, a buyer in Hong Kong planning to buy a small rental flat in central Osaka would, if there are no Self-Defense Forces or Coast Guard facilities nearby and the property is not in a current monitored area, expect little change to the transaction, which would follow the current process. If the property is close to such facilities, it is worth asking the agent to confirm the zone information before signing and allowing time in the contract schedule until the regulated zones are published.
Conclusion
The bill would move security-sensitive land from “notify before contract” to “prior permission”, but only inside regulated zones designated by the government. The bill is still before the Diet, and the zones, review times and start date have not been settled. For most overseas buyers of city homes, transactions follow the current rules for now; those looking near defence or Coast Guard facilities, or on islands, should confirm zone information before signing and follow the bill’s progress.
If you are looking at a property in Japan and are unsure whether it falls in a designated area, tell Zagdim about your situation and we can arrange a suitable specialist for you.
Life abroad? Ask Zagdim.
Your first stop for international property and global living.
Research and insights. Know what’s changing. Understand what matters.
Newsletter for overseas updatesSubscribe →
Glossary
- Important Land Act (重要土地等調査法): a Japanese law enacted in 2021 and fully in force from 2022, regulating the use of land around important facilities and on border islands.
- Monitored Area / Special Monitored Area (注視区域 / 特別注視区域): areas designated under the Act; in Special Monitored Areas, sales of land and buildings of 200 m² or more must be notified in advance.
- Regulated zone (規制区域): a new type of area under the bill, where transfers of ownership need prior permission.
- Cabinet Office (内閣府): the Japanese government body that administers the Important Land Act.
- Cabinet Order (政令): an order made by the Cabinet that sets details such as a law’s start date.
About this article
Information in this article was checked on 3 November 2026. The bill’s content is from the Cabinet Office outline; its progress is from the House of Representatives and House of Councillors bill pages, which showed that the House of Representatives received the bill on 23 October and had not yet referred it to committee. The current notification rules are from the Cabinet Office website. The example in Section 3 is simplified.
The view that the overlap with popular residential areas is limited and that the impact on the market should be small is Hayden’s, based on J Property’s work with Hong Kong and Macau buyers; the regulated zones have not been designated, and the actual impact depends on the areas the government announces. Expert views are personal professional opinions. The quotes were given in Chinese; Hayden confirmed both the original wording and Zagdim’s English translation. This article is not individual legal or investment advice; please consult a professional about your own transaction.
Experts interviewed
Hayden | Senior Property Consultant, J Property 株式会社
References
Cabinet Office, outline of the bill amending the Important Land Act (PDF, Japanese) / House of Representatives, bill progress: Cabinet bill No. 18, 222nd Diet session (Japanese) / House of Councillors, bill information: 222nd Diet session, bill No. 18 (Japanese) / Cabinet Office, Important Land Act (Japanese) / Cabinet Secretariat, recommendations on rules for acquiring security-sensitive land, summary (2 October 2026, PDF, Japanese)
