Calls are growing in Osaka Prefecture for a review of minpaku private lodging services in special zones, with locals annoyed by the behavior of some foreign guests, such as failing to follow trash disposal rules and making noise.

Japan allows the year-round use of vacant rooms in private apartment buildings as accommodations in areas designated under the National Strategic Special Zone system for deregulation. Many special zone minpaku facilities, popular with foreign tourists, are in Osaka Prefecture.

Local governments are beginning to take action, after issues linked to such minpaku services became one of the focal points in the July election for the House of Councillors, the upper chamber of Japan's parliament, as a negative aspect of fast-growing inbound tourism.

Osaka Gov. Hirofumi Yoshimura told a news conference July 22 that he would consider suspending new applications for special zone minpaku facilities.

"Many new hotels are being built," Yoshimura said. "I'm speaking with (Osaka) Mayor Hideyuki Yokoyama about a possible suspension."

Special zone minpaku service programs have been approved in such places as Tokyo's Ota Ward; the city of Kitakyushu in Fukuoka Prefecture; the city of Niigata; the city of Chiba; and the prefecture and city of Osaka.

Rules under the hotel business law, such as the need to have a front desk, are relaxed for approved facilities. The deregulation is aimed at dealing flexibly with a variety of accommodation needs, including for tourism and business.

Osaka Prefecture and its namesake city started accepting applications for special zone minpaku services in 2016.

Japan has 7,091 special zone minpaku facilities, of which 6,696 are in the city of Osaka. There are also such facilities in the cities of Yao and Neyagawa in the prefecture.

The prefecture did not have enough hotels, making it difficult to meet lodging demand, Yoshimura said, explaining why the special zone minpaku program began in the prefecture.

The governor said he now recognizes the need for measures to tackle minpaku-related problems in view of increasing complaints.

Osaka Gov. Hirofumi Yoshimura has said he would consider suspending new applications for special zone <i>minpaku</i> facilities.
Osaka Gov. Hirofumi Yoshimura has said he would consider suspending new applications for special zone minpaku facilities. | JIJI

Problems regarding special zone minpaku facilities became an issue in the Osaka prefectural constituency in the July Upper House election.

"Minpaku services in special zones are highly profitable, and there is a significant increase in (facilities run by) Chinese residents," a candidate fielded by the ruling Liberal Democratic Party said. "If we don't deal with the issue of non-Japanese now, it could be a big problem for Japan as a whole."

A candidate for opposition Nippon Ishin no Kai, the Osaka arm of which controls the prefectural and city governments, emphasized the need to "take responsibility for promoting special zone minpaku services and regulate them."

Municipalities are also seeking a review of special zone minpaku.

Neyagawa, which hosts two such facilities, has filed a request with Osaka Prefecture for scrapping the approval for the facilities. "We determined that special zone minpaku services are not needed for building a new brand as a residential city," Neyagawa Mayor Keisuke Hirose said.

The city of Osaka has discussed issues linked to special zone minpaku services in a task force headed by its mayor and has decided to consider restricting zones that can host such facilities.

An Osaka prefectural survey found that seven of its municipalities said they will reject any new applications and quit the special zone minpaku program.

The prefectural government plans to hold talks with the central government to revise the program based on the wishes of the municipalities.

Although Osaka Prefecture is thriving thanks to the large number of tourists, it will likely have to take steps to resolve negative aspects of the influx.