Store and Residence with an Old House in the Yunomoto Hot Spring District, Hioki City, Kagoshima Prefecture—Gross Yield of 16.8%

Store and residence in the Yunomoto hot spring district

This is a store and residence on land with an old house in Yuda, Higashiichiki Town, Hioki City, Kagoshima Prefecture. The price is 2.5 million yen. Located in a historic hot spring district with more than 400 years of history, the first floor can be used as a store and the second floor as a residence or guest rooms.

Property overview

The land area is 42.69㎡, and the building area is 126.98㎡. The building comprises 59.50㎡ on the first floor and 67.48㎡ on the second floor, and is a two-story wooden structure with a cement tile roof. The layout is a store on the first floor and two Japanese-style rooms on the second floor; the information section describes it as a 3DK. It was built in Showa 42, and the age of the building is stated as 59 years. It is currently vacant, and the transaction will be conducted as-is and based on the official registry.

How to use the store and residential areas

The first floor has a kitchen, counter seating, and table seating, with a tatami room at the back that can seat about four people. It is a small store that previously operated as a small traditional Japanese restaurant. The second floor has two Japanese-style rooms measuring 3 tatami mats and 4.5 tatami mats, as well as a closet. In addition to being used as guest rooms, it can also be used by the owner to live upstairs while operating the store on the first floor.

Property sold as-is and requiring renovation

The entire building shows deterioration, and interior and plumbing work is essential. There is no bathroom, but several day-use bathing facilities are within walking distance. It is being sold as-is without alterations so that it can be renovated according to the buyer’s preferences after purchase. There are no particular restrictions on the handover timing.

The surrounding environment unique to a hot spring district

Higashiichiki Town’s Yuda is a hot spring area known locally for a record in the “Uwai Kakumi Diary” stating that the Sengoku-period warlord Shimazu Yoshihiro visited for therapeutic bathing during the Azuchi–Momoyama period. The surrounding area includes cafés, food trucks, Showa-retro izakayas, soba restaurants, and ryokan inns, forming a hot spring district where old and new establishments coexist.

“Motoyu Uchikomi-yu,” a natural hot spring facility with water flowing directly from the source, is a two-minute walk away. The bathing fee is 200 yen, and a book of 11 tickets costs 2,000 yen. There are also other day-use bathing facilities in the area, including public bathhouses.

Access to the station and daily-life facilities

It is a six-minute walk from Yunomoto Station on the JR Kagoshima Main Line. Seven-Eleven is a three-minute walk away, Hanshin Chouzai Pharmacy is a five-minute walk away, and the Taiyo supermarket is a 12-minute walk away, making the location convenient for everyday shopping and daily life.

Rental history and profitability

The rent for the former small traditional Japanese restaurant was 35,000 yen per month, and the gross yield based on the rental history is 16.8%. The store closed during the COVID-19 pandemic, and no tenant has occupied it since. Further renovation of the interior and other areas may make a higher yield possible, but renovation costs and profitability will vary depending on the plans after purchase.

Tourists also visit the surrounding area, which is a hot spring district familiar to local residents. In recent years, foreign tourists have also sometimes been seen. This is a store and residence with relatively manageable initial costs, suitable for those considering opening a restaurant or establishing a base for local revitalization.