How to Get a Simple Lodging (Kani-Shukusho) License in Osaka: Process, Requirements, and Costs Explained

Osaka City's Special Zone Minpaku (Tokku Minpaku) program stopped accepting new certification applications on May 29, 2026. If you are starting a lodging business in Osaka from now on, that option is off the table. Today there are two legal routes for newcomers: (1) obtaining a license under the Hotel Business Act (for minpaku-scale properties, the "simple lodging" or kani-shukusho category is the standard choice), or (2) filing a notification under the Private Lodging Business Act (Minpaku New Law).

Of the two, the Hotel Business Act route is the one with no annual limit on operating days, allowing year-round operation. Since the Minpaku New Law caps operations at 180 days per year, the simple lodging license has become the primary route for anyone who wants lodging to be a serious revenue pillar. This article walks through the process, requirements, and cost expectations for getting a simple lodging license in Osaka, in plain terms for first-timers.

As a licensed real estate brokerage in Osaka, we introduce properties suited to minpaku and lodging businesses every day. From that hands-on perspective, we will focus on the points worth knowing before you choose a property.

The Hotel Business Act regulates businesses that accommodate guests for a fee. It historically had four categories (hotel, ryokan, simple lodging, and boarding house), but a 2018 amendment merged hotels and ryokan, so today there are three categories: "hotel/ryokan business," "simple lodging business," and "boarding house business." Simple lodging covers facilities where sleeping space is primarily shared by multiple guests — in practice, guesthouses, capsule hotels, and minpaku-scale whole-house or single-unit rentals commonly obtain licenses in this category.

The biggest advantage of a simple lodging license is that there is no limit on annual operating days. Unlike the 180-day cap under the Minpaku New Law, you can operate year-round, including peak seasons such as cherry blossom season, summer holidays, and the New Year. In exchange, it is a license (permit) system, not a simple notification, so the building and facility requirements are stricter.

Facility standards include a minimum guest room floor area of 33 square meters (or 3.3 square meters per guest when accommodating fewer than 10 people), plus requirements for ventilation, lighting, bathing, and washing facilities. Osaka City adds its own standards by ordinance in some areas, so always confirm the exact figures with the public health center.

A simple lodging license cannot be obtained just anywhere. The fundamental precondition is that the property sits in a zoning district where hotels and ryokan are permitted under the City Planning Act. Generally this means commercial, neighborhood commercial, and semi-industrial districts, while "residential-only" districts (Category 1 and 2 low-rise or mid/high-rise exclusive residential districts) are off-limits in principle. Some districts come with conditions — for example, Category 1 residential districts allow it only up to 3,000 square meters of floor area. Checking the zoning before you buy or lease is an ironclad rule.

The second hurdle is the Building Standards Act. Using a building originally constructed as a residence for lodging may require a change-of-use procedure, and if the lodging portion exceeds 200 square meters, a formal change-of-use confirmation application is required. Note that staying at or under 200 square meters only waives the confirmation application itself — the building must still comply with the Building Standards Act requirements for lodging use, such as fire-protection and evacuation standards. Older buildings that lack a completion inspection certificate can also require far more investigation and remediation work than expected.

We screen and introduce properties with these factors in mind — zoning and building condition — from the standpoint of "how workable is this for a lodging business?" It is hardly an exaggeration to say the difficulty of licensing is mostly decided at the property-selection stage.

Under fire regulations, a lodging facility is treated very differently from a residence. Once a building falls under the hotel/ryokan use category, installation of automatic fire alarm systems, emergency exit lighting, and fire extinguishers is generally required, and additional equipment may be needed depending on the building's size and structure. Curtains, carpets, and similar items must be flame-retardant.

When applying for a hotel business license in Osaka City, you must attach a Fire Code Compliance Notice (shobo horei tekigo tsuchisho) issued by the fire department. In other words, you need to clear the fire department's review and inspection before the health center will grant the license. Because fire-safety work takes both time and money, we strongly recommend consulting the fire department early in your planning.

Requirements also differ depending on whether you use an entire building or a single condominium unit, since the whole building's use classification matters. Realistically, this is an area to navigate together with fire-equipment contractors and an administrative scrivener (gyoseishoshi) experienced in hotel business licensing.

The typical flow for obtaining a simple lodging license in Osaka City is: (1) pre-consultation with the public health center (to check whether the property is viable), (2) consultations with the building and fire authorities, (3) preparation of drawings and a construction plan, (4) fire-safety works and obtaining the Fire Code Compliance Notice, (5) filing the license application with the health center (an application fee applies), (6) an on-site inspection by the health center, and (7) issuance of the license and start of operations. The key point: the process starts with consultation, not with submitting forms.

In Osaka City, advance notification to neighbors (posting signs, providing explanations) may be required. There are also standards for the front desk (genkan-choba); substitution using ICT equipment such as video systems and tablets can be accepted under certain conditions, so consultation with the health center is essential.

Because accurate drawings and documents are required, it is common practice to engage an administrative scrivener experienced in hotel business applications. Working with a specialist usually ends up faster and cheaper than repeated do-overs on your own.

Costs vary widely with the property's condition, so no one can give a definitive number — but as a framework, think in four buckets: (1) the license application fee (on the order of tens of thousands of yen), (2) fire-safety equipment works (often starting from several hundred thousand yen depending on scale), (3) change-of-use or renovation works where needed (potentially reaching several million yen depending on scope), and (4) professional fees for administrative scriveners and other experts. There is no honest single total — it genuinely depends on the property and the case.

For the timeline, it is safest to budget several months from pre-consultation to license issuance. Many cases are said to take roughly three to six months, and longer when change-of-use procedures or major works are involved. Build your opening schedule with generous buffer.

The single most effective way to control both cost and time is to choose a property that needs minimal work. Properties that already hold a hotel business license, or that easily meet the requirements, are popular and scarce on the market — so if a property catches your eye, start the requirements check early.

To wrap up, here is how the two entry routes compare. Simple lodging: a permit system with zoning restrictions and typically heavier upfront investment, but no limit on operating days. The Minpaku New Law: a notification system that is easier to start, but capped at 180 days per year, and for absentee-host operations, outsourcing to a registered private lodging management company is legally mandatory (Osaka City also adds its own local rules). One reasonable way to decide: if you want to run lodging as a serious year-round business, simple lodging is the main contender; if you want to start small and test the waters, begin with the New Law.

Whichever route you choose, your post-opening operations will determine success. Our sister service, Tsumugi Connect — an Osaka-based minpaku management company registered as a private lodging management business — supports owners from license acquisition through day-to-day operations. We can advise you consistently from property search to running your business.

Please note that the rules and standards for hotel businesses and minpaku may change in the future. Always confirm the latest requirements with Osaka City, the public health center, or a qualified professional. For help finding simple-lodging-ready properties in Osaka or planning your licensing process, feel free to contact us on LINE.