Japan's first hotel set in a wooden castle is breathing new life into a fading rural town

A groundbreaking Japanese hotel offers an unprecedented experience – stay like a medieval lord in an authentic castle keep.

Ozu Castle in Ehime's Ozu town is the only castle keep in Japan that allows overnight stays. Dating back to 1617, it is also one of the last remaining timber castles in the country.

While converting Ozu Castle into a hotel is an extraordinary achievement, it is part of a larger effort to revitalize a shrinking rural community.

The town is often referred to as ‘Little Kyoto’

Often referred to as the 'Little Kyoto' of Iyo (the historical name for Ehime prefecture), Ozu is celebrated for its picturesque Hiji River, its rich history, and the majestic four-story Ozu Castle.

Once a political hub during the Edo period (1603-1868), Ozu thrived throughout the Meiji (1868-1912) and Taisho (1912-1926) eras, driven by the wax and silk industries.

However, like many rural towns in Japan, Ozu has seen a sharp decline in fortunes over the past several decades.

Since the 1950s, the town’s population has dwindled significantly, from 79,000 in 1955 to just 42,000 by 2020.

As Diego Cosa Fernandez, director of the Architecture and Culture Research Department at Kita Management (a branch of the city’s Tourism and City Planning bureau) puts it, 'This decline has led to business closures and abandoned homes, creating a cycle where young people leave in search of better opportunities.'

'With fewer young couples, the birth rate declines, and the cycle continues to worsen.'

Faced with these challenges, many property owners have chosen to tear down their aging homes, seeing little economic potential in them.

'Most of these abandoned homes have been turned into empty lots or parking spaces,' says Fernandez in an interview with Dinogo Travel. 'There was a growing realization among the local community that this trend couldn’t continue, something had to be done.'

Kita Management has become a key part of the solution.

Aiming to save the historic homes that were vanishing at an alarming rate, this organization works to repurpose them in ways that are both sustainable and respectful to the local community.

Fernandez, originally from Spain, spent a year studying in Kyoto after earning his architecture degree in the early 2000s. He later returned to Japan in 2012 to pursue a PhD focused on 'water, architecture, and history,' during which he discovered Ozu.

'The region became the foundation of my research,' Fernandez explains. 'Gradually, my local network grew.'

'Across Japan, rural areas – and even the government – are searching for the 'magic' formula or the right policies to halt the decline. We’re part of that ongoing trial-and-error process,' Fernandez adds.

Experiencing a stay at Ozu Castle

The Ozu Castle, now offering accommodations, was carefully reconstructed, which is why local authorities allowed it to be transformed into a hotel.

Japan’s Cultural Heritage Protection Laws impose stringent rules on any alterations to historical sites, including many of the country’s iconic castle keeps.

Following the demolition of the original Ozu Castle in 1888, the town embarked on a mission to rebuild this beloved landmark in the 1990s, using timber instead of concrete in the restoration.

“Timber construction was significantly more expensive, and post-war building codes restricted timber structures to a height of no more than 13 meters,” explains Fernandez. “Ozu Keep stands at 19 meters tall.”

After years of lobbying national ministries, Ozu finally received the green light to build the timber keep, with the restoration completed in 2004.

In July, Ozu Castle opened its doors to hotel guests, offering an exclusive experience where visitors can enjoy the castle privately once the gates close to the public at 5 p.m.

For its first year, only 30 stays will be allowed, with a maximum of six guests per visit.

Since the castle keep lacks shops, restrooms, or air-conditioning, a luxurious bath and a private lounge have been tucked away in a secluded part of the castle grounds exclusively for hotel guests.

What’s it like to stay at the castle?

Upon arrival, guests – who can opt to dress in traditional kimonos or medieval warrior attire – are greeted with the sounds of shell trumpets, waving flags, and a gunpowder squadron.

Guests will then enjoy a local kagura, a traditional dance performance recognized as an important intangible cultural heritage of Japan.

Dinner is served in one of the castle’s four turrets, followed by a moonlit viewing session with sake, accompanied by poetry recitations.

The turrets are original and have withstood the test of time, enduring for over four centuries.

After a night at the castle, guests enjoy breakfast at Garyu Sanso, a historic villa perched on a cliff, featuring a teahouse with a scenic view of the Hiji River.

The Castle Town Hotel

However, the Castle Town Hotel is just one of several new lodging options in the area. The expansive Nipponia Hotel Ozu Castle Town project spans multiple properties throughout Ozu.

An additional eleven hotel rooms are located in three carefully restored houses scattered around the town.

Named after three historic Ozu lords, the houses – SADA, OKI, and TSUNE – each has its own unique story to tell.

SADA was once the home of a doctor in the early 20th century, possibly serving as a clinic. Today, it functions as the hotel’s reception and features a restaurant that caters to both hotel guests and the general public.

TSUNE was formerly a renowned 400-year-old restaurant, which was abandoned in the early 1980s. It has since been transformed into two guest rooms and a spacious banquet hall for events.

“OKI is the crown jewel of the historic homes,” says Fernandez.

“It was owned by Murakami, a wealthy industrialist who amassed his fortune in Japanese wax production. OKI was the family’s main residence, showcasing their wealth and prestige. It is also one of the oldest surviving homes in Ozu.”

The first phase of the project focuses exclusively on hotel rooms, with a second phase planned to introduce additional venues, including a microbrewery.

“Our mission is to identify at-risk homes, convince their owners to lease them to us, involve them in the restoration process, find appropriate uses (and tenants), and preserve these homes for 15 years,” explains Fernandez.

After 15 years, the renovated properties will be handed back to the original owners, who will have the option to continue the business or pursue other options.

“Ultimately, our goal is to create a vibrant city center where young couples are drawn to move in because of the job opportunities, lively bars and cafes, accessible childcare, and charming homes. Residents will choose to stay for these same reasons,” says Fernandez.

For Fernandez, Ozu’s greatest appeal lies in its blend of contrasting elements.

“Here, you’ll find a castle, serene zen temples, beautiful shrines, traditional teahouses, merchant residences, samurai homes, pottery, silk, washi paper, and local festivals,” he says.

“While none of these individually may be internationally renowned, the collection is captivating and accessible, almost like a compact, living encyclopedia of Japanese art and history,” he adds.

How to get there: Ozu is located approximately 60 kilometers from Matsuyama, the capital of Ehime Prefecture, and is easily reachable via its airport.

Travelers can reach Ozu (Iyo-Ozu Station) from Matsuyama by bus, which takes about an hour, or by one of several JR train options ranging from a 40-minute ride on the Limited Express to a 2-hour journey on the Local Train.

On weekends, the Iyonada Monogatari sightseeing train connects the two cities, offering a scenic route along the stunning coastline of the Seto Inland Sea.

Ozu Castle Town, 888 Ozu, Ehime Prefecture, Japan; +81 0120 210 289