OKAERI PROJECT — Business Plan

OKAERI PROJECT — 2026

OKAERI Turning abandoned houses into places where people can take on challenges.

Now active in Fudai, Iwate.
Join us in building the next site.

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OKAERI in 30 Seconds

GOAL — What success looks like

100 restored properties across Japan, connected by a single membership — so anyone can stay at any of them, anywhere in the country.

STEPS — How we get there

We keep renovation budgets minimal and rebuild each property gradually through DIY, proving the model one site at a time before scaling. Site 1 (Fudai, Iwate) proves the model → crowdfunding builds the community and the budget → expand to 3–5 sites → scale to 100 sites nationwide.

NOW — What we need

Site 1 in Fudai Village signs its formal lease this July. We're preparing a crowdfunding campaign to fund the renovation. If you're interested in supporting or partnering with us, please get in touch.

Get in Touch →

PROJECT SUMMARY

OKAERI PROJECT regenerates vacant houses across Japan at low cost, turning them into accommodations, long-stay bases, and community hubs.

Conventional renovation projects often require enormous upfront costs, leaving operators burdened with fixed expenses before they even open.

OKAERI does the opposite: as-is handover, ultra-low rent, DIY renovation, local involvement, and multiple revenue streams — a structure that runs lean from day one.

The goal is not a luxury inn chain. It is to build entry points across Japan where ordinary people can connect with rural communities.

As-Is Handover Ultra-Low Rent DIY Renovation Local Community Multiple Revenue Lean Structure

1. Our Story — ORIGIN

01

Vacant houses are multiplying across Japan. According to government statistics, the number has surpassed 9 million — an all-time high.

In rural areas, houses stand empty — inherited but untouched, slowly falling apart. Weeds grow. Windows crack. The decay is quiet but relentless.

Yet each of these houses once held a life — a family's memories, a neighborhood's history.

Meanwhile, more people yearn to connect with rural Japan — to escape the city, start something, create in nature, or try rural living before committing.

Yet despite the desire, most people never find a first place. You need money, connections, experience. Most stop at "I want to."

OKAERI PROJECT bridges the gap between vacant houses that cannot be maintained and people who have nowhere to begin their challenge.

2. The Root Problem — THE PROBLEM

The vacant house crisis is not simply
a matter of "too many houses."

0

Vacant houses nationwide (2023).
All-time high. +510,000 in 5 years.

0

Vacancy rate — all-time high.
1 in 7 homes now sits empty.

¥1M–3M

Average demolition cost.
Too expensive — so houses are left to rot.

The Owner's Dilemma

The real problem: owners can't sell, can't maintain, can't afford demolition. "I want to keep it — but I can't do anything." Millions of houses sit in exactly this state.

  • Demolition costs ¥1–3M — unaffordable
  • Inheritance disputes block action
  • Owners live far away, can't manage
  • Don't want to sell, can't maintain
  • Property tax keeps accumulating
  • Reluctant to sell to foreign investors

The Challenger's Barrier

More people want to connect with rural Japan — yet they have nowhere to start. People ready to challenge and houses that need people never seem to find each other.

  • Startup costs are prohibitive
  • No base of operations
  • No connections in the community
  • Full relocation feels too risky
  • Nowhere to test the waters first
  • No entry point for rural life

OKAERI connects the two.

Vacant House Owners × People Ready to Challenge

3. What is OKAERI — CONCEPT

OKAERI is not simply a traditional inn business. Nor is it a typical rural revitalization event project.

What OKAERI wants to create is "a place where people gather quietly, and relationships grow."

Rural revitalization tends to spotlight big events, markets, and festivals. But these often end in exhausted organizers and one-time spending.

OKAERI takes the opposite approach — not big events, but value in everyday atmosphere.

Drinking coffee on the engawa veranda

Slowly fixing the garden together

Eating around the irori hearth

Escaping the city for just a few days

Doing DIY work together

We want to multiply these quiet ways of being part of a place.

4. How OKAERI Differs

Comparison

Category Conventional Approach OKAERI
Initial InvestmentHighMinimal
RenovationFull renovationStaged DIY
Fixed CostsHighMinimized
OperationsOperator-centricDistributed locally
RevenueAccommodation onlyMultiple streams
Value SourceFinished spaceThe growth process
Risk ProfileHigh occupancy dependentLow fixed-cost structure

5. Why OKAERI Doesn't Fail — BUSINESS STRUCTURE

The #1 reason rural accommodations fail:
fixed costs.

Why Conventional Inns Fail

Fixed costs crush them before occupancy recovers

High acquisition, full renovation, loan burdens, staffing, and occupancy dependency — money runs out before the business stabilizes.

The OKAERI Philosophy

Not "maximize profit fast" — but "build a structure that survives even in the red"

What matters is not maximizing profit quickly, but building a structure resilient enough to survive slow starts.

6. Property Strategy

OKAERI prioritizes properties with the following conditions.

ConditionReason
As-is handover, DIY allowed, no restorationOwner eliminates property tax while earning rent
Ultra-low rentMinimize fixed costs
Long-term lease (10–15 years)Secure time to recoup renovation investment
Prioritize pre-licensed propertiesReduce opening costs
Prioritize scenery and local characterEnhance stay value

In property selection, we prioritize stay value, scenery, narrative, and content potential — over mere age.

How a Property Grows

Three phases, one property:
rental → DIY → inn.

We never open a run-down property as an inn on day one. Each property moves through three stages, and only reaches premium pricing once it's actually ready.

01

Phase 1 — Zero Risk Period

Acquisition & Rental Phase

Start by getting someone living there

Acquire the property as-is. Assess its condition and determine the best path. Rental use — which requires no inn license — is one valid option.

  • No inn license required to begin
  • Offset holding costs (property tax etc.)
  • Learn how the property "breathes"
  • Identify what needs fixing first
02

Phase 2 — Fan Building Period

Co-creation & DIY Phase

Open inn after DIY completes

The renovation approach varies by property type. For traditional farmhouses, DIY leads to an inn. For ordinary vacant houses, rental use may fit better. The inn opens only after DIY is complete.

  • Plumbing and interiors improved step by step
  • DIY participants become fans of the project
  • Document and share the process on SNS
  • House Master candidates naturally emerge
03

Phase 3 — Revenue Maximization

Accommodation & Hub Phase

Convert to premium pricing after DIY

Inn license secured, whole-house rental launches. The renovated property and fans built during DIY become the first guest base.

  • Inn license obtained, whole-house rental begins
  • ¥30,000–40,000 per night premium pricing
  • DIY fans become the first guests
  • Community connections become repeat visitors

Exit Strategy

If inn licensing falls through, the property simply continues as a long-term rental. No restoration required, no sunk renovation cost — exit risk stays close to zero at every phase.

7. House Master System

OKAERI calls its on-site coordinators
"House Masters."

Rather than centralizing all management at HQ, OKAERI creates small local operators in each region.

No training required. Anyone who wants to do it raises their hand. HQ holds the know-how. All we ask of a House Master is to be there.


HQ's Role

HQ handles: reservations, SNS, marketing, incident decisions, complaints, brand management, and manuals. We standardize cleaning protocols, emergency responses, check-in flows, and community rules — making multi-site expansion possible.

On Operational Independence

The answer to "can one person really run this?" is: the House Master doesn't need to do everything. Reservations, marketing, complaints, and SNS are all handled by HQ. The House Master just needs to be on-site for cleaning and checks. Standardized manuals ensure quality even as House Masters change — enabling multi-site expansion.

Residential Rental Type

Not everyone wants to run an inn. OKAERI also subleases properties to people hoping to try rural living. The owner leases as-is — property tax disappears, rental income begins — with DIY allowed and no restoration required. OKAERI pays ¥10,000/month to the owner and collects ¥20,000–30,000 from the resident. The margin is OKAERI's revenue. Residents get affordable rent and full DIY freedom — an entry point for those testing rural relocation.

Role Cleaning, minor repair checks, community relations, guest support, DIY support, event hosting (optional)
Cleaning Fee ¥5,000 per night stayed (approx.)
No occupancy, no cost. More stays, more pay.
Performance Bonus Additional pay based on occupancy and revenue. No ceiling.
Recruitment Anyone who wants in raises their hand. Recruited from SNS followers, crowdfunding supporters, and past guests.
Residential Rental OKAERI subleases from owner to resident. ¥10,000/month to owner · ¥20,000–30,000 from resident. DIY allowed, no restoration. Entry point for those testing rural relocation.

8. Revenue Model — REVENUE MODEL

OKAERI does not depend on accommodation alone.

01

Whole-House Accommodation

¥30,000–40,000/night. One group per day. Core revenue.

From Opening
02

Long-Term Stays

Workation, creative residencies, relocation trials. Critical for filling slow seasons.

Month 3+
03

Sponsor Partnerships

Equipment, goods, and financial sponsorship. Not advertising — participation in rural regeneration.

Pre-Opening
04

SNS Content

Document the renovation process itself. The goal is awareness, fan-building, and community — not SNS monetization.

From Opening

9. Why We Don't Depend on International Tourism

OKAERI does not build its model around international tourists. Exchange rates, geopolitics, disasters, pandemics, and tourism policy all create volatile demand.

Instead, OKAERI builds on domestic long stays, corporate retreats, creative residencies, workation, and community relationships — a structure that sustains itself in normal times.

International guests are welcome as a result. But we will never build an inn that cannot survive without them.

OKAERI's Priority Demand

  • Domestic long-term stays
  • Corporate retreats & offsite meetings
  • Creative residencies
  • Workation
  • Community connection & relocation trials

Build a structure that sustains itself in normal times — first.

10. Model Cases

If it can be a lodging, make it one.
If not, rent it out.

The key decision for each property is whether it can operate as a lodging. Both models share the same conditions: as-is handover, low rent (equivalent to property tax), long-term contract, no restoration obligation. The goal is to minimize fixed costs so that even low occupancy or few tenants generates profit.

Lodging Model A ── No Facilities / DIY Type

Ex.) 70-year-old kominka, Yoshino, Nara

A property with no bath, toilet, or septic tank — everything must be built from scratch, making initial investment higher. However, if rent can be kept to the property tax equivalent, fixed costs after opening remain extremely low. Funds and supporters are gathered through crowdfunding, DIY participation, and process documentation, then the property is rented as a whole unit.

Initial InvestmentEst. CostNotes
Cleaning / clearing¥200,000+
Septic tank installation¥500,000–1,000,000¥300,000 subsidy available
Toilet installation¥150,000–300,000
Bath installation¥300,000–600,000
Bedding / furniture¥200,000–300,000Used / donated items
DIY materials¥200,000+
Health dept. application¥20,000–30,000Simple lodging license
Administrative scrivener¥150,000–300,000Optional; DIY possible
Fire safety equipment¥200,000–800,000Alarm system, emergency lights
Fire inspection / filing¥80,000–200,000Includes inspection attendance
Flame-retardant furnishings¥50,000–200,000Fire-labeled curtains required
Insurance¥50,000–100,000Liability insurance
Operating capital¥500,000Buffer for launch period
Total estimate¥2M–3MReducible with subsidies

Year 1 (10–15% occupancy · 3–5 nights/mo.)

Revenue¥90,000–150,000
Cleaning (variable)¥15,000–25,000
Fixed costsapprox. ¥30,000
BreakdownRent ¥10k · Utilities ¥10k · Misc ¥10k
Monthly profit+¥45,000–95,000

※ Conservative Year 1 estimate. The low fixed-cost structure ensures profitability even at low occupancy. Initial investment of ¥2M–3M recovered in 3–5 years.

Year 3 (25–35% occupancy · 8–11 nights/mo.)

Revenue¥240,000–330,000
Cleaning (variable)¥40,000–55,000
Fixed costsapprox. ¥40,000
BreakdownRent ¥10k · Utilities ¥15k · Reserve ¥5k · Misc ¥10k
Monthly profit+¥160,000–235,000

※ Fan base built through SNS and crowdfunding drives occupancy growth. Cherry blossom season (April) can push occupancy above 50%.

If lodging is not possible (rental)

Paid to owner

¥800–¥10,000/mo.

Property tax equiv.

Rent from tenant

¥20,000–30,000/mo.

As-is, DIY allowed

Monthly profit

¥10,000–20,000

Ready to start, no renovation

Lodging Model B ── Facilities Included / Low Initial Investment

Ex.) 1975-built house, Fudai, Iwate

Septic tank already in place. Only toilet and bath renovation required. Significantly lower initial investment than Model A. With rent at property-tax level, the ultra-low fixed-cost structure means profit from just 1 booking per month.

Initial Investment (estimate)

Cleaning / clearing¥100,000–200,000
Toilet renovation¥100,000–200,000
Bath renovation¥100,000–300,000
Bedding / furniture¥200,000–300,000
Permits / fire safety / insurance¥500,000–1,300,000
BreakdownApplication ¥20–30k · Scrivener ¥150–300k · Fire equipment ¥200–800k · Inspection ¥80–200k · Furnishings ¥50–200k · Insurance ¥50–100k
Operating capital¥300,000
Total estimate¥1.5M–2.8M

※ No septic installation needed, cheaper than Model A. Fire safety and administrative costs are similar. Reducible through DIY and self-filing.

Revenue (rent: approx. ¥4,300/mo.)

Fixed costsapprox. ¥10,000
BreakdownRent ¥4,300 · Utilities ¥5,000
Rate per night¥15,000–20,000/night
Cleaning (variable)¥5,000 per stay
Year 1 (2–3 nights/mo.)+¥10,000–25,000
BreakdownRev ¥30–60k − Clean ¥10–15k − Fixed ¥10k
Year 3 (5–6 nights/mo.)+¥55,000–90,000
BreakdownRev ¥75–120k − Clean ¥25–30k − Fixed ¥10k
Withdrawal riskExtremely low

※ Fixed costs under ¥10,000/mo. — even empty months do not strain operations. Initial investment of ¥1M–1.5M recoverable in 2–3 years. Brand awareness grows through the "Miracle Village" story and the famous unmanned station.

If lodging is not possible (rental)

Paid to owner

¥4,300/mo.

Property tax equiv.

Rent from tenant

¥20,000–30,000/mo.

As-is, DIY allowed

Monthly profit

¥15,000–25,000

Ready to start, no renovation

Rental Model ── When lodging is not possible, or as a parallel strategy

Properties that cannot operate as lodging are rented out instead

No renovation at all. Rented as-is with DIY freedom, at rent equivalent to property tax. As tenants renovate while living, property value improves and owner management costs drop to zero.

Conditions

Initial investment¥0 (no renovation)
Rent paid by OKAERIProperty tax equiv. (¥several thousand–¥10,000/mo.)
Rent received from tenant¥20,000–30,000/mo.
Cleaning / repairsTenant's responsibility (as-is, DIY allowed)

Monthly Revenue

Rent from tenant¥20,000–30,000/mo.
Paid to owner¥several thousand–¥10,000
Monthly profit¥10,000–20,000 per property

※ Starts with no renovation costs. Profit compounds as more properties are added. DIY by tenants improves property value over time.

Sublease Model ── Scaling Up

OKAERI subleases properties to tenants. Scalable nationwide model.

A scale-up model for increasing properties alongside the lodging and rental models. OKAERI subleases from owners to people seeking rural relocation or DIY living. All cleaning, repairs, and clearing are the tenant's responsibility. Revenue compounds with minimal overhead.

Conditions

Initial investment¥0 (no renovation)
BreakdownAll cleaning, repairs & clearing — tenant's responsibility
Paid to owner¥10,000/mo.
Rent from tenant¥25,000/mo.

Monthly Revenue (per property)

Rent from tenant¥25,000/mo.
Paid to owner¥10,000/mo.
Monthly profit¥15,000

※ Property tax covered by owner. Ready to start without renovation. Near-zero management. Profit compounds as properties are added. Tenant DIY improves property value upon move-out.

RISK ZERO

Starts without renovation costs — vacancy risk does not threaten operations

VALUE UP

Tenant DIY improves property value upon move-out

SOCIAL IMPACT

Eliminates owner management burden and prevents properties from becoming problem vacancies

11. Risk Awareness & Mitigation

OKAERI does not
underestimate the risks.

Plumbing Failures

Aging pipes and water heaters can fail without warning. Mitigated by monthly repair reserves.

Roof Leaks

Traditional farmhouse roofs and walls are prone to leaking. Staged renovation prioritizes critical fixes first.

Low Occupancy

Seasonal slumps reduce revenue. Mitigated by multiple revenue streams and off-season programs.

Community Friction

Friction with neighbors or local community. Mitigated by House Master's steady relationship-building.

Cleaning Quality Variance

Quality can vary as House Masters change. Standardized through manuals and checklists.

Staffing Gaps

If a House Master candidate can't be found. Continuously cultivating candidates through SNS and crowdfunding.

Core Mitigation Principles

  • Minimize fixed costs to build deficit resilience
  • Monthly repair reserves
  • Spread investment risk through staged renovation
  • Build community trust through local collaboration
  • Standardize quality through detailed manuals
  • Spread risk across multiple sites
  • Not aiming for "perfect from day one" eliminates large-scale investment failure risk

12. Funding Policy — FUNDING POLICY

OKAERI is not a "borrow big, start big" business.

By assuming as-is handover, ultra-low rent, DIY, and staged renovation, OKAERI is built to start small and scale steadily.

What matters is not "expand as fast as possible" but "stay in the community long-term with a structure hard to abandon."

Crowdfunding

Not just fundraising — also building supporters, SNS reach, early fans, and House Master candidates. Sponsor companies backing the campaign increase its chance of success.

Sponsor Partnerships

We offer sponsors not "ad space" but participation in rural regeneration. Furniture, tools, paint, bedding, outdoor goods, and consumables are actually used at the property — providing long-term authentic exposure.

Public Financing

This is not a model that depends on loans. However, for safety requirements, plumbing repairs, and operating capital, public financing may be utilized. The guiding principle: not "borrow as much as possible" but "operate sustainably within repayment capacity."

Value Offered to Sponsor Companies

Approach to Initial Funding

Crowdfunding (community + DIY costs) × Sponsor partnerships (equipment + materials) × DIY & labor (compress costs) × Revenue reinvestment (staged renovation) × Public financing only when necessary

13. National Expansion

OKAERI does not aim
to become a chain.

Yoshino is Yoshino. Niigata is Niigata. Nagano is Nagano. Each site keeps its regional character. What is unified is the philosophy — "turning abandoned places into places where people can challenge themselves" — and a minimum standard of quality.

Phase 01 — Year 1

Yoshino Site

1 site

  • Open Site #1
  • Build SNS foundation
  • Prove out House Master system

Phase 02 — Year 3

Multi-Site

3–5 sites

  • Expand to 3–5 sites
  • Build sponsor foundation
  • Form rural network

Phase 03 — Year 5

Nationwide

10 sites nationwide

  • 10 sites nationwide
  • Form a national stay network
  • Recognized as "the entry point to challenging yourself in rural Japan"

Yoshino, Nara

Quiet mountain retreat

Heavy Snow, Niigata

Creative residency in deep snow

Nagano

Creator retreat hub

Seto Inland Sea

Island long-stay

OKAERI is not an inn business.
It creates entry points
for ordinary people to connect with communities.

Fix the place little by little.
Let people gather little by little.
Quietly grow a relationship with the community.

OKAERI will multiply this new way of connecting with rural Japan
— across the entire country.

OKAERI PROJECT ↗

Contact Us

For sponsorship inquiries, House Master interest,
or any other questions about OKAERI PROJECT,
please feel free to reach out.

We will reply from okaeri.kominnka@gmail.com

Message sent.
We will reply within 3–5 business days.