Moreover, in retrospect, the government itself was overly optimistic: it anticipated a substantial scarcity of office space partly because of internationalization of the Japanese financial markets in its “Metropolitan Reconstruction Plan” (1985), and in “The 4th National Comprehensive Development Plan” (1987).
4  See Shimizu, C., T. Watanabe, and K. G. Nishimura, “House Prices in Tokyo: A Comparison of Repeat Sales and Hedonic Measures” mimeo, Reitaku University and Hitotsubashi University, 2010. 5  There is sizable rigidity in continuing rents partly because of institutional factors.