The proposal focuses on land use after purchase
An expert panel established by MLIT in March 2026 published its recommendations on August 7 after five meetings. The panel said inappropriate land use can become difficult to address once problems have intensified, particularly where existing sector-specific land-use laws leave regulatory gaps. It recommended making greater use of the information-gathering function of the National Land Use Planning Act and considering a system capable of continuously monitoring how land is used after acquisition.
Supervision could extend from transaction to actual use
The recommendations call for examining a framework that would allow authorities to respond to inappropriate land use at both the transaction stage and the subsequent use stage. Importantly, as of September 7, 2026, this is a policy recommendation rather than a newly enacted nationwide property-purchase prohibition. Nor does the published recommendation itself establish a blanket ownership restriction applying only to foreign nationals. Any concrete reform would still need to define relevant land types, thresholds, locations, reporting requirements and administrative powers.
Ownership rights and permitted land use are separate questions
In Japan, the ability to acquire a property does not mean that the land can be used for any purpose. Urban-planning rules, building regulations, agricultural land laws, forestry rules and local ordinances can all apply depending on the property. For foreign and non-resident buyers considering land or entire buildings, due diligence should therefore cover zoning, floor-area ratios, building coverage, redevelopment restrictions, development permissions and disaster-related regulations in addition to title. The next key development will be whether the recommendations are translated into specific amendments to the National Land Use Planning Act.