Minakami transforms abandoned inns into new attractions for locals and visitors

In the town of Minakami in Gunma Prefecture, a project is underway to revitalize a once-thriving hot spring district now marked by abandoned hotels and shuttered inns, according to a July 7^th article by the Nikkei Shimbun.

Since 2021, the town government, Gunma Bank, major housing developer Open House Group, and the University of Tokyo Graduate School have partnered to restore the area under a rare collaboration spanning government, academia, finance, and industry.

From Bustling Getaway to Abandoned Relics

Once known as the "back parlor of the Kanto region," Minakami's Mizukami Onsen drew large tour groups during Japan's economic bubble. However, following the bubble's collapse, the town declined. Buildings were abandoned, leaving behind a deteriorated cityscape.

Before photo in dilapidated state (right) and current revitalized state photo (left); both photos were taken from the same standpoint.  Courtesy of the Minakami Haikyo Saisei Project website.

The turning point came in 2019 with the closure of the hotel Ichiyotei. Its shuttered site became the launchpad for the regeneration effort.

The Ichiyotei Site as a Catalyst

Rather than opting for demolition and reconstruction, the team chose to preserve part of the Ichiyotei building and reduce its size.

The former Ichiyotei site undergoing deconstruction work as part of the abandoned building revitalization project courtesy of the Nikkei Shimbun.

The goal is to convert it into a low-rise hot spring and lodging facility - an open, community-oriented space that contrasts with the self-contained inns of the Showa era.

The University of Tokyo provides expertise in area management and helped envision this project as the symbolic starting point of the broader revival.

A Community-Led, Step-by-Step Approach

Students and project members are deeply engaged with the community, conducting interviews and building trust through dialogue. While the facility was originally slated to open in 2026, the target has been pushed to 2028. "During the deconstruction process, we found structures not shown in the original blueprints," said Hirotaka Yokose, Deputy Director of Sustainability at Open House Group. “It’s not a delay so much as a careful process.”

Mayor Kenichi Abe echoed the sentiment, saying, "We’d rather they take their time and build something truly worthwhile."

Grassroots Activities Inspire Local Momentum

In the nearby backstreets, a former employee dormitory known as the Higaki Dorm was repurposed into an event space, hosting the “Ura-Roji Summer Garden” in September 2022, where residents gathered to share food and discuss the town’s future.

Mini Haikyo Regeneration Market photo courtesy of the Minakami Haikyo Saisei Project website.

The first “Mini Haikyo (Abandoned Building) Regeneration Market” followed in October. Now an annual event attracts vendors and visitors alike; in 2024, about 4,500 people from both inside and outside the town attended.

Mini Haikyo Market area illustration map in white. Courtesy of the Minakami Haikyo Saisei Project website.

Artisans also participate in an "Open Atelier Trial" that will return for a second installment from July 24 to 26.

Broader Vision Beyond a Single Site

Project area map illustration provided by the Minakami Haikyo Saisei Project website.

The project extends beyond the former Ichiyotei. The town plans to develop five communal “hiroba” (public plazas) throughout the hot spring district, aiming to create a walkable zone connecting JR Minakami Station and the local Michi-no-Eki tourism center.

Building on Natural Strengths

Formed by a 2005 merger of three municipalities, Minakami faces a declining population.

Graph courtesy of the Nikkei Shimbun, edited by Patience Realty.

Yet the area boasts significant appeal: Mount Tanigawa, the Tone River, and access to Tokyo via Joetsu Shinkansen in just over an hour. “The area has tremendous potential,” said Assistant Professor Masayoshi Nagano of the University of Tokyo’s urban design lab.

Minakami is home to 18 hot spring areas and offers a wide range of outdoor activities including hiking, skiing, rafting, and camping. It also features the unique Doai Station, known as the “mole station” for its underground platform, and several major dams that supply water to the Greater Tokyo Area.

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The challenge now is how to connect these scattered attractions into a cohesive whole and attract not only tourists but also new residents and multi-base lifestyle seekers.

Institutional Support Grows with Open House Group Participation

Plans are underway to establish an Urban Design Center near Jomo-Kogen Station as a hub for area-wide management. The town has allocated ¥7 million in its June supplementary budget to support related activities. Open House Group (TYO: 3288), which also operates hotels and ski resorts in the area, donated ¥210 million in 2023 via the corporate hometown tax system—following a ¥170 million donation in 2022.

Further Reading:

Minakami Onsen Area Concept & Idea Book (Japanese only with more illustrations than above)

Sources:

Nikkei Shimbun (Japanese only; paywalled)

Minakami Haikyo Saisei Project Website (Japanese only with lots of photos)