When a new condominium building (マンション - manshon) is constructed in Japan, one of the first crucial steps in establishing clear legal title for its individual units is the "ownership preservation registration" (所有権保存登記 - shoyūken hozon tōki). This is the very first registration of ownership for a newly created property, and it formally creates the Kō-ku (甲区 - ownership section) in the real property register (不動産登記簿 - fudōsan tōkibō) for that unit. While general rules govern who can apply for such a registration, Japanese law, specifically the Real Property Registration Act (不動産登記法 - Fudōsan Tōki Hō), provides specific pathways, including a notable streamlined process for the initial buyers (transferees) of condominium units, particularly those with integrated site-use rights (敷地権付き区分建物 - shikiken-tsuki kubun tatemono).

This article outlines the categories of individuals or entities eligible to apply for an initial ownership preservation registration for a condominium unit and details the special provisions designed to facilitate this process for transferees.

Understanding Ownership Preservation Registration (所有権保存登記)

An ownership preservation registration is distinct from an ownership transfer registration (所有権移転登記 - shoyūken iten tōki). A transfer registration records the passing of an existing registered ownership from one party to another. In contrast, a preservation registration establishes registered ownership for the first time for a property that previously had no registered owner (e.g., a newly built structure).

For condominiums, this means that after the building's physical characteristics are first recorded in the registry through a "display registration" (表示登記 - hyōji tōki), the shoyūken hozon tōki is the next step to formally register who legally owns each unit.

General Categories of Applicants for Ownership Preservation (RPRA Article 74, Paragraph 1)

Article 74, Paragraph 1 of the Real Property Registration Act outlines the primary parties who are eligible to apply for an ownership preservation registration. These provisions apply broadly to real property, including condominium units:

A. The Title-Deed Holder (表題部所有者 - Hyōdaibu Shoyūsha) and Their Successors (RPRA Art. 74(1)(i)):

• The "title-deed holder" is the person whose name is recorded as the owner in the display section (表題部 - hyōdaibu) of the property register when the initial display registration (which records the building's physical details) is made.
• For newly constructed condominiums, the hyōdaibu shoyūsha is typically the developer, construction company, or the entity that undertook the construction and is the original owner of the building before any units are sold.
• The heirs of an individual hyōdaibu shoyūsha or other general successors (e.g., a company that absorbed the original developing company through a merger) are also eligible to apply for the preservation registration in their own name as successors to the original owner's rights.

B. Persons Proving Ownership by a Final and Binding Judgment (確定判決により自己の所有権を証明する者 - Kakutei Hanketsu ni yori Jiko no Shoyūken o Shōmei suru Mono) (RPRA Art. 74(1)(ii)):

• If there is a dispute regarding who the true original owner of the newly constructed property is, and this dispute is resolved by a final and binding court judgment that confirms a particular party's ownership, that party can apply for the ownership preservation registration based on the judgment.
• In a condominium context, this might arise, for example, from a dispute between a developer and a landowner over the terms of a joint development agreement, or between different entities involved in the construction project.

C. Persons Acquiring Ownership by Expropriation (収用により所有権を取得した者 - Shūyō ni yori Shoyūken o Shutoku shita Mono) (RPRA Art. 74(1)(iii)):

• If a newly constructed (but not yet ownership-registered) condominium unit is acquired by a public authority through legal expropriation procedures (e.g., for public works under the Land Expropriation Act - 土地収用法 Tochi Shūyō Hō), the expropriating authority can apply for the ownership preservation registration in its name.

The Special Provision for Transferees of Shikiken-tsuki Condominium Units (RPRA Article 74, Paragraph 2): A Streamlined Path

One of the most significant and practically important provisions for new condominium sales in Japan is found in Article 74, Paragraph 2 of the Real Property Registration Act. This article creates a special pathway for the first buyer (transferee) of a condominium unit with registered site-use rights (shikiken-tsuki kubun tatemono) to directly apply for the ownership preservation registration in their own name.

The Core Provision of RPRA Art. 74(2):
This paragraph allows a person who has directly acquired ownership of a condominium unit that has registered shikiken from the hyōdaibu shoyūsha (the title-deed holder, i.e., usually the developer) to apply for the shoyūken hozon tōki in their (the transferee's) name.

"Heading-Skipping" Registration (冒頭省略登記 - Bōtō Shōryaku Tōki):
This procedure is commonly referred to in practice as a "heading-skipping" or "direct initial" registration. It allows the registration process to "skip" the step where the developer would first have to make an ownership preservation registration in their own name, only to then immediately make an ownership transfer registration to the first buyer. Instead, the first buyer becomes the first registered owner directly.

Key Conditions for an Art. 74(2) Application:

1. Direct Acquisition from the Hyōdaibu Shoyūsha: The applicant (the buyer) must have acquired ownership directly from the party recorded as the owner in the building's display section (the developer). This provision is intended for the very first sale of the unit. A subsequent purchaser from this first buyer cannot use this specific Art. 74(2) mechanism; they would take ownership via a standard ownership transfer registration from the (first buyer) registered owner. However, heirs of the direct transferee are generally considered eligible to step into the direct transferee's shoes for this purpose.
2. Shikiken-tsuki Condominium Unit: The unit in question must be a condominium unit for which integrated site-use rights (shikiken) are already properly established and displayed in its registration record (and the corresponding "registration that it is a site right" is made on the land records). This linkage is crucial.
3. Consent from the Registered Holder of the Site-Use Right (敷地権の登記名義人の承諾 - Shikiken no Tōki Meigi'nin no Shōdaku): This is an indispensable requirement. The applicant (the buyer) must submit proof of consent from the registered holder of the shikiken. In most new condominium developments, the hyōdaibu shoyūsha (the developer) is also the initial entity that established and holds the shikiken for all units before they are sold. Therefore, this typically means obtaining the developer's formal consent. This consent, usually evidenced by a certificate bearing the developer's registered seal, confirms their agreement to the buyer bypassing the developer's own preservation registration and directly becoming the first registered owner of both the unit and its integrated shikiken.

Rationale and Benefits of the Art. 74(2) Streamlined Process:

• Efficiency and Speed: It combines what would otherwise be two separate registration processes (developer's preservation, then transfer to buyer) into a single, more direct process. This speeds up the finalization of the buyer's registered title.
• Cost Savings: It generally reduces overall registration costs. Registration license tax (登録免許税 - tōroku menkyo zei) and fees for judicial scriveners (司法書士 - shihō shoshi) are typically incurred for each registration step. By eliminating one step, these costs can be minimized.
• Practicality for Mass Sales of New Units: This provision is extremely practical for developers selling numerous units in a newly completed condominium project. It simplifies the administrative burden on both the developer and the initial wave of buyers.

Documentation and Information for RPRA Article 74(2) Applications

When a transferee applies for ownership preservation registration under Article 74(2), specific documentation is required, which differs slightly from a standard preservation application by an original owner:

• Information Certifying the Cause of Registration (登記原因証明情報 - Tōki Gen'in Shōmei Jōhō): A crucial difference from typical preservation registrations (under Art. 74(1)) is that for an Art. 74(2) application by a transferee, the "cause of registration" (e.g., "Sale, [Date of Sale]" or "Gift, [Date of Gift]") is recorded in the register (as per RPRA Art. 76(1) proviso). Because the cause is registered, information certifying this cause (such as the original sales contract between the developer and the buyer) must be provided as part of the application. This is logical because, substantively, this registration also serves to record the transfer of the integrated shikiken from the developer (the shikiken holder) to the first buyer.
• Proof of Acquisition of the Unit: The sales contract or other relevant transfer agreement serves as this proof.
• Consent Certificate from the Registered Holder of the Site-Use Right: As mentioned, this is a vital document, typically including the consenter's registered seal certificate (印鑑証明書 - inkan shōmeisho).
• Applicant's (Buyer's) Identification and Address Certificates: Standard documents like a certificate of residence (住民票の写し - jūminhyō no utsushi).
• Details of the Shikiken: The application must accurately describe the shikiken associated with the unit, consistent with the building's display registration.

Other Potential Applicants in Condominium Contexts

While the hyōdaibu shoyūsha and direct transferees under Art. 74(2) are the most common applicants for initial preservation registrations of new condominium units, other parties could theoretically apply under general principles:

• Co-owners (共有者の一人 - Kyōyūsha no Hitori): If the hyōdaibu shoyūsha consists of multiple co-owning entities (e.g., joint developers), or if the first direct transferees are acquiring the unit as co-owners, one co-owner can apply for the ownership preservation registration on behalf of all co-owners. This is considered an act of property preservation under Article 252, proviso of the Civil Code (民法).
• Creditors by Subrogation (民法423条による債権者 - Minpō Yonhyaku-nijū-san-jō ni yoru Saikensha): If the party entitled to apply for preservation registration (e.g., the developer or an eligible transferee) fails to do so, a creditor of that party may, under the provisions for creditor's subrogation rights (Civil Code Art. 423), apply for the preservation registration in the debtor's name to secure an asset against which the creditor can then enforce their claim. However, the practical need for this specific route has been somewhat reduced by RPRA Article 76, Paragraph 2, which allows a court clerk, upon an order of attachment against an unregistered building with a hyōdaibu shoyūsha, to commission an ex officio ownership preservation registration in the name of the debtor (the hyōdaibu shoyūsha).

Scenario: Developer's Non-Cooperation with an Article 74(2) Application

The streamlined process under RPRA Article 74(2) relies on the cooperation of the hyōdaibu shoyūsha (developer), specifically in providing the necessary consent as the shikiken holder. What if a developer, despite having sold the unit, refuses to provide this consent?

• In such a situation, the buyer cannot force the Art. 74(2) direct preservation registration.
• The buyer's primary recourse would be to demand that the developer fulfill their contractual obligation to transfer title. This would typically involve the buyer insisting that the developer first complete the ownership preservation registration in the developer's own name (under Art. 74(1)(i)). Once the developer is the registered owner, the buyer can then sue for specific performance of the sales contract, demanding an ownership transfer registration to themselves. This, of course, is a more protracted and less efficient route than the direct Art. 74(2) registration.

Conclusion

The initial ownership preservation registration is a foundational step in establishing legally recognized ownership of a newly built Japanese condominium unit. While the Real Property Registration Act provides general categories of applicants, such as the original title-deed holder (typically the developer), their heirs, or those proving ownership by judgment or expropriation, a highly significant and practical special provision exists under Article 74, Paragraph 2.

This provision allows direct transferees (first buyers) of shikiken-tsuki condominium units to apply for ownership preservation registration directly in their own names, provided they obtain the consent of the shikiken holder (usually the developer). This "heading-skipping" mechanism greatly streamlines the registration process for new condominium sales, offering efficiency and cost savings. Understanding who is eligible to apply, and particularly the conditions for this transferee-led preservation registration, is crucial for developers, buyers, and legal professionals involved in the vibrant Japanese condominium market.