Weekend business hotels in Osaka reach 20,000 yen; reporters reveal hidden gems. | FRIDAY DIGITAL

Weekend business hotels in Osaka reach 20,000 yen; reporters reveal hidden gems.

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Especially on weekends, it’s disastrous 1.5 to 1.8 times compared to 2019!

Hotels are extremely expensive right now. Especially in Tokyo, for example, on weekends, it’s not uncommon to see prices like “20,000 yen per night” at major business hotel chains. This isn’t just a problem for Tokyo anymore; in fact, people traveling from the Tokyo metropolitan area to cities like Osaka often say, “Hotels in Osaka have become very expensive recently, and it’s troubling.”

According to the global online travel agency “Expedia,” comparing the average hotel prices in Osaka between 2019, before the pandemic, and 2024, they have increased by 1.5 to 1.8 times. The top countries for booking hotel stays through Expedia and similar platforms were the United States, South Korea, Hong Kong, Canada, and Taiwan. Based on data from Expedia and Hotels.com (January to December 2019, January to October 2024).

I looked into the current prices of major business hotels in the Umeda area, Osaka’s city center. It turns out that, in addition to the trend of still being affordable on weekdays, extremely expensive on weekends, there are other aspects emerging as well.

Half a year until the World Expo. In September 2024, the official character of the Osaka-Kansai Expo, “Myakumyaku,” made an appearance at the China International Fair for Trade in Services (CIFTIS) held in Beijing, China. It is playing a role in promoting the Expo overseas as well.
The foreign-affiliated hotel “Canopy by Hilton Osaka Umeda,” which opened on September 6, 2024, is located right in front of Osaka Station, within Grand Green Osaka. The photo shows a corner suite room (63㎡) bedroom (PHOTO: Canopy by Hilton Osaka Umeda).

The occupancy rate is the highest in the country. What we learned from comparing prices of business hotels in Osaka.

The current accommodation rates for major business hotel chains in Osaka are as follows. The comparison is between weekdays and weekends (December 11th, Wednesday / December 14th, Saturday, 1 room for 1 person per night. Extracted from Expedia / Unless noted otherwise, data was collected on November 20th):

  • Toyoko INN Umeda Nakatsu 1: 7965 yen / ※No vacancies in Osaka Prefecture
  • Dormy Inn Osaka Tanimachi: 14,529 yen / 26,477 yen
  • APA Hotel & Resort : 11,069 yen / 20,827 yen
  • Via Inn Umeda: 13,538 yen / 27,239 yen
  • Super Hotel Premier Osaka Honmachi Station: 11,530 yen / 23,903 yen

For business trips, companies typically have a regulation such as “up to 9,000 yen per night” or “up to 12,000 yen per night.” While it’s still possible to find something within this range during weekdays, weekends become quite difficult.

“Toyoko INN” is popular, especially among business travelers, because its rates do not spike as much on weekends compared to other hotels. As a result, reservations at urban Toyoko INN locations tend to fill up quickly, making it harder to secure a booking.

By the way, the occupancy rate for accommodations, including business hotels, is the highest in the country. According to the Ministry of Land, Infrastructure, Transport and Tourism’s report (July 2024 2nd Preliminary Report), Osaka’s 76.3% surpasses Tokyo’s 76.1%, ranking 1st nationwide. Although this is a 1.9% decrease from July 2019, it is an 8.9% increase from July 2023, reflecting the high growth rate compared to other urban areas. This data also indicates “Osaka’s popularity.”

With just six months to go until the World Expo, the publicity efforts both domestically and internationally have raised the profile of Osaka.

The high hotel prices in Osaka are due to several factors, one of which is the upcoming “Osaka-Kansai Expo” scheduled to open in about six months.

This Expo is expected to attract visitors from around the world to Osaka. According to the “Osaka-Kansai Expo Visitor Transportation Action Plan,” the estimated number of visitors is around 28.2 million, with approximately 24.7 million domestic visitors (88%) and about 3.5 million international visitors (12%). Of the domestic visitors, approximately 15.59 million (63%) will come from the Kinki region, while about 9.11 million (37%) are expected from outside the region.

Many of the domestic and international visitors will stay in Osaka. In addition to the city’s increased publicity, Osaka’s profile is rising internationally as it is soon to host the World Expo.

Unprecedented hotel opening boom… but are business travelers and common people left out in the cold?

In conjunction with the Expo, hotels are opening one after another, mainly in Osaka City.

Many of the newly opened hotels have a high price range, and many are foreign-affiliated.

Despite the hotel opening boom, many of the newly opened hotels are quite expensive, with many being foreign-affiliated. For example, THE OSAKA STATION HOTEL, Autograph Collection, which opened on July 31 and is directly connected to Osaka Station, costs nearly 70,000 yen per night even on weekdays. The hotels that have opened or are set to open in Osaka are clearly targeting wealthy individuals and inbound tourists, offering little benefit to Japanese businesspeople struggling to find affordable accommodations for their business trips.

The “THE OSAKA STATION HOTEL, Autograph Collection,” which opened on July 31, 2024, has a total of 418 rooms, including 8 suites, located from the 30th to the 38th floors. The image shows a corner twin room (PHOTO: JR West Hotels).

The reason behind the skyrocketing weekend prices for business hotels in Japan.

Additionally, there is another reason why weekdays are cheap and weekends are expensive. Among inbound tourists, Osaka has a high number of repeat visitors.

Osaka is closer to countries like South Korea, Taiwan, and Hong Kong than Tokyo. In South Korea, there are many flights, mainly from low-cost carriers (LCCs), with direct flights not only from Seoul and Busan but also from Daegu and Cheongju. A one- to two-hour flight makes traveling to Japan feel almost like a domestic flight.

For South Koreans who work during the week and refresh themselves in Japan on weekends, it’s not necessary to stay in a luxury hotel every time, and business hotels are sufficient. In fact, staying in business hotel chains in major cities in Japan, it has become increasingly common to encounter tourists from South Korea and Taiwan since the COVID-19 pandemic. The fact that Japan’s business hotels are considered cost-effective by foreigners may have quickly spread through social media.

Low-cost carriers (LCCs) from South Korea, such as Jeju Air (in the foreground) and Jin Air. Kansai Airport sees a daily influx of flights from cities like Seoul, Busan, and other locations in South Korea. The majority of passengers using LCCs are South Korean tourists traveling to Japan.

Even though 20,000 yen per night may be expensive for Japanese people, is it still considered cheap for inbound tourists?

The number of hotels available for weekend bookings in Osaka is not actually zero. However, in areas like Umeda, most hotels charge around 20,000 to 30,000 yen per night. On the other hand, cheaper hotels like Toyoko Inn have no vacancies at all.

Looking at the price list again, apart from Toyoko Inn, weekend prices are almost double compared to weekdays, showing aggressive pricing.

In addition to the high occupancy rate, Japan appears inexpensive to overseas visitors due to the yen depreciation and lower cost of living. During my recent visits to Singapore and Hong Kong, three-star hotels in good locations were priced around 20,000 to 30,000 yen per night. In European cities, especially in Western countries like Paris, prices were even higher. For foreign hotel chains, comparing Osaka, a popular city of this size, with other cities overseas, 20,000 to 30,000 yen per night is likely considered a reasonable price rather than aggressive.

“Toyoko Inn Higashi-Osaka” opened on July 3, 2024. It is located just a 1-minute walk from the JR and Kintetsu Nara Line’s “Kawachi-Nagaya Station.” It takes about 15 minutes direct to Namba and around 30 minutes to Umeda with one transfer. Even in an unfamiliar area, the close proximity to the station makes it convenient (PHOTO: Toyoko Inn).

Local Resident Reporter Recommends Hidden Gem Areas for Hotels in Osaka

The author was born and raised in Osaka and still resides in Osaka Prefecture. From this perspective, the author would like to introduce some hidden gem areas in Osaka.

Firstly, a conveniently located area includes hotels near stations along the Osaka Metro Midosuji Line, which passes through places like Umeda, Namba, and Shin-Osaka. The Midosuji Line offers the great advantage of direct access from Shin-Osaka Station, where the Tōkaidō and Sanyō Shinkansen stop, making it convenient to travel to any part of central Osaka.

Among the lines parallel to the Midosuji Line, the Osaka Metro Yotsubashi Line, Tanimachi Line, and Sakaisuji Line are available, with the Yotsubashi Line being the closest to Midosuji. Hotels along the Yotsubashi Line offer easy access to Midosuji Line stations within walking distance. If you have luggage such as a suitcase, it is better to have a shorter walking distance. There are several large business hotel chains near stations like Higobashi and Yotsubashi.

Additionally, hotels near Amagasaki Station on the Hanshin or JR lines are still relatively affordable compared to central Osaka. Amagasaki is just one station away from Osaka Station (Umeda Station) on the express or rapid trains. From JR Shin-Osaka Station, you can also travel directly to Kyoto or Kobe without transfers. While Amagasaki is located in Hyogo Prefecture, locals often feel it is almost the same distance as central Osaka.

If you’re willing to venture a bit further, expanding the range to Sakai can be a good option. From Nankai Namba Station to Sakai takes about 10 minutes on the Nankai Main Line or Nankai Koya Line to Sakaihigashi. As a designated city, Sakai has a variety of domestic hotel chains like Toyoko Inn, Super Hotel, Daiwa Roynet, and Agora.

In today’s Japan, to secure the cheapest hotel in popular urban areas like Osaka, it is essential to book early as soon as plans are made. Additionally, business hotels, unlike resort hotels or city hotels catering to tourists, sometimes lower their prices or have vacancies a few days before your stay. When searching for a hotel for a business trip, persistence is key. You should also consider hotels near suburban stations, even if they are a little less convenient.

The “Dorsett by Agora Osaka Sakai,” scheduled to open in spring 2025, will be located about a 5-minute walk from Sakai Station on the Nankai Line. It will also offer direct access to Kansai Airport without transfers, making it convenient for business travelers as well. (PHOTO: Agora Hospitality)
  • Interview, text, and photos (4th) Shikama Aki PHOTO Afro (1st)

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