These days, Japan’s capital has set its eyes on redefining the urban experience, with strategic investments in public spaces, culture and tourism. The reason? Because it can. As the economic engine of Japan—responsible for 20% of the country’s GDP—Tokyo has the fourth-highest GDP per Capita in our ranking and the second-most Fortune 500 companies. No wonder the city ranks in the top three in our overall Prosperity index.
Tokyo’s commitment to a sustainable, human-centered cityscape is evident in its reimagining of transportation and green spaces (it tops our ranking in the Nature & Parks subcategory). A transformative project inspired by New York City’s High Line aims to repurpose a mile-long stretch of the Tokyo Expressway into a pedestrian walkway, complete with greenery, retail and recreational spaces. This initiative is part of a global shift from car-centric infrastructure to more pedestrian-friendly environments. The project will partially open by 2030, offering a new perspective on the city by allowing residents and visitors to traverse Tokyo on foot, above its kinetic streets among the skyscrapers and trains. The broader strategy to move sections of major expressways underground, including parts of the KK Line, marks a significant shift toward enhancing walkability and reclaiming urban space for public use.
But this is also a city of craftsmanship and the art of hospitality. Having added thousands of hotel rooms over the past few years, its hotel and tourism sector is geared for resurgence, aligning with Japan’s national target of attracting 60 million tourists and generating US$136 billion in tourism revenue by 2030. The city’s significant infrastructure investments, such as the expansion of Haneda Airport and a rapid 18-minute rail link to downtown by 2031, exemplify its commitment to global accessibility.
These projects reflect Tokyo’s aim to balance visitor convenience with sustainable growth. The focus on smart mobility continues to reshape Tokyo’s transport network and the city has begun trials of hydrogen-powered buses and electric taxis, with a target of achieving full implementation by 2030. The introduction of autonomous shuttles in the waterfront district of Odaiba marks Tokyo’s commitment to futuristic, low-carbon urban mobility.
The low yen against the U.S. dollar is only helping, with global media declaring Japan as the destination of the year (whether last, this or next ranges). Conveniently, the city has also solidified its status as a global shopping destination, for which it tops our ranking. Ginza remains the center of the city’s luxury offerings, with the Ginza Six center blending high-end fashion, culinary excellence and contemporary art. New luxury hotel projects, such as The Tokyo EDITION Ginza join the Four Seasons Otemachi opened in 2020, just north, reflect the city’s growing appeal to high-end travelers.
In the city’s west end, Miyashita Park in Shibuya enhances Tokyo’s urban retail experience, offering not only boutique shopping and dining but also active spaces like volleyball courts and a skatepark. The city’s ambitious Shibuya Redevelopment Project is set to complete its final phase by 2027, transforming this iconic district into a model of integrated urban living. New pedestrian bridges, rooftop gardens and eco-friendly office towers will redefine Shibuya’s skyline, making it a blueprint for future city centers worldwide.
A couple miles away, the stunning new Janu hotel, the Tokyo flagship of Aman’s slightly thriftier sister brand, may just be the embodiment of the city like nowhere else, if considered minimalism and service are your barometers. The Azabudai Hills’ plentiful green spaces are matched with Tokyo’s largest Hermès location and the city’s newest destination dining experiences. But don’t worry: the gym’s boxing ring lets you get it all out if reserved stoicism isn’t getting it done. The district (and emerging other developments like it such as nearby Toranomon Hills) is following the path of Azabudai Hills, reshaping the cityscape and creating “vertical cities” that blend business, retail, leisure and living. And increasingly, public art, as Tokyo’s new teamLab Borderless at the Azabudai Hills complex demonstrates.
Like the rest of the city, you have to experience it to believe it.
There’s a higher purpose here, however. The Toranomon-Azabudai development is poised to become Tokyo’s answer to Silicon Valley, with cutting-edge office spaces, incubators and collaborative zones designed to attract start-ups and multinational tech firms alike. Initiatives like the Tokyo Startup Ecosystem Consortium offer support through funding, mentorship and international networking, fostering a climate ripe for technological breakthroughs.
Meanwhile, Odaiba’s Digital Innovation Zone is transforming into a nexus for AI research, robotics and VR experiences. By 2026, this district will house the Tokyo VR Park, a state-of-the-art center for virtual and augmented reality applications in fields ranging from healthcare to entertainment.
But it’s not all luxury redevelopment and tech pipes in this coveted urban gem. Neighborhood initiatives like the Kanda River Revitalization Project, set to be completed in 2025, are breathing new life into forgotten waterways. Combining flood prevention with recreational spaces, the project is just one of dozens in the city that threads the needle with environmental resilience and walking paths, seating areas and interactive art installations along the riverbanks. These micro-projects contribute to Tokyo’s reputation as a city that balances efficiency with environmental consciousness.
The relentless evolution here goes beyond infrastructure and public spaces; it reflects a deeply ingrained cultural ethos that values continuous improvement, or kaizen. The city’s meticulous attention to detail extends to its hospitality sector, culinary scene and retail experience, blending the heritage of craftsmanship with a forward-thinking approach to innovation.
Tokyo has long held the crown as the city with the most Michelin-starred restaurants in the world. With over 200 Michelin-ranked establishments, the city’s culinary scene is a mosaic of flavors, techniques and traditions. The addition of new stars in 2024 underscores Tokyo’s unwavering commitment to gastronomic excellence. The city’s cafes and patisseries are no less inventive. The recent opening of La Boutique de Joël Robuchon in Marunouchi brings French patisserie finesse to the heart of Tokyo’s financial district.
The city’s top spot in our Museums subcategory will only strengthen with the Yayoi Kusama Museum Expansion in Shinjuku and the opening of Sumida Hokusai Museum’s new wing in 2024 that celebrates Japan’s artistic legacy, offering interactive exhibits and workshops.
Meanwhile, Tokyo’s Cultural Heritage Preservation Program that funds the restoration of Edo-period buildings and Shinto shrines is as strong as ever, ensuring that history remains an integral part of the urban narrative, and the city’s Sights & Landmarks position stays firmly at #1 in our ranking.