Actual Costs and Timeline for Obtaining a Hotel (Ryokan) License

2025.10.22

INDEX

1. Overview of the License

Obtaining a Hotel Business (Simple Lodging) license removes the 180‑day cap under the Minpaku framework, enabling year‑round operation. However, it requires stricter compliance with the Building Standards Act and Fire Service Act, so early coordination with local authorities is essential.

2. Cost Estimates

Administrative application fees vary by city but typically range from ¥150,000 to ¥250,000. Additional fire safety equipment and minor construction adjustments may cost ¥300,000 to ¥800,000.

For example, renovating a 30‑year‑old wooden apartment building often totals around ¥600,000 including inspection preparation.

3. Application Timeline

Typical process:

Pre‑consultation and drawing review (about 2 weeks)

Construction and fire inspection (about 3–6 weeks)

Application submission to approval (about 2 weeks)

Overall, expect roughly 1.5 to 2 months from start to finish.

Takeaway

A hotel license requires higher upfront costs than Minpaku registration but eliminates the operational day limit. It suits investors seeking stable, continuous income rather than seasonal peaks. The key is to quantify requirements, expenses, and schedule at the planning stage to ensure a smooth approval process.

 

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