Even though it's the same Nomura Real Estate...

Nakano Sunplaza and the Shibaura Project: Their contrasting fortunes and the background

—

In the summer of 2025, a major redevelopment project was scrapped.

It was the "Nakano Sunplaza," an iconic presence in Nakano Ward, Tokyo.
More than 50 years have passed since its opening in 1973. It was a grand plan to replace the aging building with a high-rise complex. However, the total project cost, initially estimated at 181 billion yen, ballooned to 350 billion yen, and the plan was abandoned based on the judgment that it was not profitable.
The company promoting this project was Nomura Real Estate.

On the other hand, the "BLUE FRONT SHIBAURA" redevelopment in Hamamatsucho (Shibaura 1-chome), also handled by Nomura Real Estate, has been designated as a National Strategic Special Zone and is proceeding smoothly in partnership with JR East.

Why did the results differ so much for projects handled by the same company?

—

Different playing fields, different ways to fight

My view is simple.
Perhaps the "playing fields" they grew up in were different.

The Nakano Sunplaza redevelopment aimed to be a "city where culture and life intersect," blending a music hall, hotel, residences, and commercial facilities.
However, that vision was blocked by the wall of soaring construction costs and Nomura Real Estate's overly optimistic assessment.

Reaching consensus with residents, inheriting a historic facility, and ensuring hall functionality—all are important, but the costs required to satisfy them weighed increasingly heavily amid changes in the housing market and rising prices.

"Cultural regeneration" and "profitability" are sometimes incompatible.
I feel this project truly embodied that difficulty.

—

Meanwhile, Shibaura is becoming a rational "face of the city"

In contrast, the Shibaura project is clearly built on the premise of profitability.
Uses such as offices, residences, retail, education, and hotels are clearly incorporated into the profit structure, and the overwhelming location power of Minato Ward and the waterfront is supporting it.

Direct access to Haneda Airport, along the Yamanote Line, and large-scale land owned by JR.
"This land is sure to succeed"—that conviction is accelerating the project.

Incidentally, as for what this Shibaura redevelopment site was originally, it was a large-scale office district centered on the former Toshiba Building. It could be said that it was a location where many companies had already finished moving out, and demolition and reconstruction were the premise.

—

The significance of Nomura Real Estate "moving its headquarters"

One of the points of interest in this project is the decision by the Nomura Real Estate Group itself to move its headquarters to Shibaura.
The relocation will begin sequentially from August 2025, and it will become the group's core base.

It is not just a real estate development; there is a determination to complete it as a flagship project where "they themselves live and work."
The "level of commitment" to the project itself must have been different from Nakano.

—

Hopes for the future of Nakano Sunplaza

Nakano Sunplaza was a center for culture that had walked with the region for over 50 years.
That "weight" was both the difficulty and the significance of the redevelopment.

Like the TOC Building in Gotanda, which also had its redevelopment postponed, simple reuse may be difficult.
Even so, how will they connect "cultural inheritance" and "memories of the city" to the future—I want to continue to watch how they can realize the "beautiful ideals" that Nakano put forward.

—

✒️ Thank you for reading to the end.
If you are interested in urban planning or urban development, please let me know your thoughts in the comments.