Tokyo's Imperial Hotel, the luxury inn that counts Marilyn Monroe among past guests, raised room rates last year to levels it last charged before the bubble economy imploded in the early 1990s. A surging yen now threatens those gains.

With signs of spending from foreign tourists starting to wane as a result of the stronger currency, the hotel is looking to boost wedding banquets and turn those younger guests into repeat clients, said Hideya Sadayasu, president and general manager of Imperial Hotel Ltd.

"I am worried that if the yen continues to strengthen we may see a brake on visitors coming to Japan," said Sadayasu, 55. He added that the currency impact is "big" because it can also weigh down domestic share prices, which makes consumers tighten their purse strings.