Separating Lodging, Dining Helps Revitalize Aging Hot Springs Area; Guests Increase 60% from Pre-Pandemic Numbers

The Yomiuri Shimbun
The Arifuku Onsen hot springs area features densely packed buildings built on a slope.

GOTSU, Shimane — A hot spring area in western Shimane Prefecture has been undergoing a renaissance of sorts, thanks to a unique strategy of turning the entire town into what is effectively an all-inclusive resort.

Arifuku Onsen in Gotsu, once in decline due to a shrinking and aging population and a series of natural disasters, has been revitalized through the combined efforts of private businesses and local residents.

The strategy reorganized the entire Arifuku Onsen area, known for its secluded location in the mountains, into an “all-in-one hotel” that integrates the traditional functions of a Japanese inn across local businesses.

Located on the slopes of a bowl-like ravine, Arifuku Onsen is dotted with stone steps and buildings packed closely together, providing an unusual landscape that has drawn comparisons with the well-known Ikaho Onsen area in Gunma Prefecture.

“This surreal townscape is what makes it so appealing,” said Shigechika Hirashita, 43, an interior designer and Gotsu native. “Recently, this area has been attracting people who have never come before, such as young hitchhikers.”

Hirashita had left Gotsu to study at a furniture workshop in the United States and other pursuits, but returned in 2011. He is among the leaders of the revitalization effort, serving as vice president of the association promoting the area while running a local inn for long-term guests.

Farthest from Tokyo

Facing the Sea of Japan with a population of about 21,300, Gotsu is a center of production for the Sekishu style of roof tiles known for their reddish-brown color, which can be seen on roofs throughout the city.

A high school geography textbook once described Gotsu as “the farthest city from Tokyo,” given how it takes the most time to reach it from the capital using public transportation. It’s a designation that the city has embraced, even including it on its website and turning it into a selling point to attract travelers from the metropolitan area.

In the early years of the Showa era (1926-1989), Arifuku Onsen was a thriving area with about 20 inns. It gradually lost its vibrancy and, after a major fire in 2010 and devastating floods in 2013, the number of inns began to decrease, until just three remained.

The turning point came in fiscal 2020, when the city, Hirashita and other business operators came up with the “all-in-one” strategy.

The main pillar of the strategy is the separation of lodging and dining, which Japanese inns traditionally offer as a package. Instead, the two will be offered separately, with inns focusing on lodging, and restaurants handling the serving of meals.

The system not only reduces the manpower needs and financial burden for the inns, but also encourages visitors to stroll around the area, giving it a more vibrant feel.

The project was approved for a subsidy from the Japan Tourism Agency, allowing aging or abandoned inns and restaurants to undergo renovations in fiscal 2021 and 2022. The number of inns has increased to 10, including those that only offer lodging or can be booked entirely by one party.

In 2021, a Hiroshima company opened an Italian restaurant providing meals for guests of local inns and a wine shop in the area. There are plans for two more establishments in the near future.

The system has been well received by overnight guests. The area drew more than 10,000 visitors in 2023, 1.6 times the pre-pandemic number in 2019.

The Yomiuri Shimbun
The Arifuku Onsen hot springs area features densely packed buildings built on a slope.

Keeping the boom going

Can the prosperity be sustained?

Another pillar of revitalization that Hirashita is betting on is the holding of events that allow local residents to casually interact with overnight guests. In late October, he and others put on the first Saturday night market, where guests and local residents mingled together in a fair-like atmosphere.

This autumn marked the launch of the Fukufuku Asaichi morning market, held one Sunday per month. Stores from both inside and outside of the area sell pork miso soup, sandwiches and other items.

Young people who have newly moved into the area are also getting involved.

Taisei Nagatomo, 24, an employee of a local company, and Manami Fujita, 23, sell homemade miso and vegetables produced by local residents at a market once a month.

The two are from Kanagawa Prefecture and moved to the area after serving there as interns in the government’s Local Vitalization Cooperator program during their college years.

“The local population is aging, so I want to help preserve and pass on those things that they have long cherished,” Nagatomo said.

He is involved in spreading information about the area, such as its traditional Iwami Kagura music and dance, with future plans of taking over and incorporating a local miso-manufacturing business.

Efforts to come up with ideas toward revitalization will continue in the future.

Reducing innkeepers’ burden

The system of separating lodging and dining adopted by the Arifuku Onsen area has been particularly effective in reducing the burden on lodging facilities. This system is spreading to many places in Japan, partly to deal with the aging of innkeepers.

The Nukabira Gensenkyo Onsen area in Kamishihoro, Hokkaido, has implemented a system that allows guests staying for consecutive nights to eat either at their lodging facilities or at local restaurants. Since its adoption, there has been an increase in the number of repeat guests.

The Shimosuwa Onsen area in Nagano Prefecture also has a similar cooperation agreement between local guesthouses and nearby restaurants.

In the Shima Onsen area in Nakanojo, Gunma Prefecture, local restaurants, which used to be open only during the day, now stay open at night on weekends to serve dinner to overnight guests.

The Japan Tourism Agency recommends such cooperation in hot spring areas and provides information on sample cases around the country.