Thursday, August 25, 2011

Construction of temporary shops finally begins in Ofunato and Rikuzen Takata

According to the Organisation for Small and Medium Enterprises and Regional Innovation Japan (SME Supoort, Japan), work on temporary shops and factory maintenance for businesses that recieved damage in the earthquake started in Ofunato and Rikuzen Takata this week. Since the information session in April, many businesses have shown interest in the free assistance and are looking forward to construction. It is expected that construction in each area will be formalized soon, but even 5 and a half months since the earthquake many businesses have not been able to setup a business base, and many are demanding the speed up of maintenance.

The free loan system is a part of the support measures for the east Japan earthquake from SME Support, Japan. Factories on a construction area of 650m2, and two-story shops and offices on a construction area of
350m2 can be built on municipal holdings, or on land that the municipality can offer.

The shops, offices and factories can be used for up to a year, but after that, their management will be entrusted to the municipality. In Ofunato,  since April, the Ofunato Commerce and Industry has been putting together requests and coordinating sites and shops. From there, the city of Ofunato put forward an application to SME Support, Japan.

Misaki-cho was the first place for construction to begin, starting on the 23rd. Set up in Kobosoura, along the prefectural road, is a building with an overall floor space of 430m2. The building is a two-story building with a lightweight steel frame. It contains 12 blocks and is being used for shops and offices. Small shops that operated in the town before the disaster will move into the building.

At first, construction was scheduled to begin at the beginning of this month. But the city of Ofunato and those related to the construction work explain that they "needed time to adjust plans of the internal structure". They said it would take about two months, and that it was expected to be completed around late October. In Ofunato the application for 17 areas, including Misaki, and 158 businesses has been completed.
Construction in Ryori and Ofunato-cho is expected to begin soon, but SME Support has put a condition on the construction asking that debris and building foundations be removed from 7 areas, and that the waterworks in one area be repaired before construction begins.

The number of applications has reached more than 240 businesses, and the city of Ofunato continues site selection. Ofunato's Commerce and Tourism Department says they "particularly hope to speed up the works in Akasaki and Ryori, where the shops are few".

For businesses reopening, the burden of a 'double loan', new capital investment on top of existing loans, is seen as a problem. According to SME Support, whilst the free support is economically a great help to businesses, in areas other than Misaki, completion seems far away and people are showing their impatience.

The delay for starting construction has become topic of conversation even amongst the city's Disaster Recovery Planning Committee, where one member says that "everybody is impatient. We want them to speed things up, as soon as possible". Even those businesses who were interested in the free support have given up, and there are also cases of some starting work on their facilities themselves.

In Rikuzen Takata, at the beginning of May, an information session about the temporary facilities for businesses was held. As of the 24th of this month, applications from  businesses has risen to 77 places and 190 businesses, and of those, a portion have gone on to construction confirmation application.

In Rikuzen Takata, where they received catastrophic damage from the tsunami, most of the flat ground that would be used for construction was submerged under water. Construction of temporary housing is given priority on official land, so businesses are looking and applying for possible construction sites.

According to SME Support, facility construction of 3 places started on the 22nd. Yonesaki-cho in Matusmine, Takekoma-cho in Tokaichiba and Takuta-cho in Nishiwano.

Seven shops will move into the temporary facility being built in Yonesaki-cho.They will include a food manufacturing business (catering), cram school, barber's shop, sports store, Chinese restaurant, coin laundry and convenience store.
The facility will consist of 2 lightweight steel-framed single story buildings, and 1 two story building, making a total of three, and a total floor space of 1041m2.
Completion is expected in the middle of October.

Four shops (100yen Shop, a farmer's produce shop, an insurance agency and ramen restaurant) will move into the establishment at Takekoma-cho.
The building will be a 2 story lightweight steel-framed building with a total floor space of 428m2, scheduled to finish in the middle of October.

The facility in Takata-cho will house two shops - a cram school and a painting school.
It is also a  2 story lighweight steel-framed building, with a floor space of 213m2.
It is scheduled to be finished somewhere between the end of September and the beginning of October.

Counselor Yoshiyuki Odashima from the Compliance and Coordination Office in the same building says "it has taken some time to start construction, but things are slowly picking up. Construction work will increase between September and October. I hope that the facilities can be finished as soon as possible."


Tokai Shinpo 7/21/2011)