Younger crowds contribute to retail boom in San Francisco’s Japantown

By Kenny Choi
San Francisco’s Japantown continues to attract younger crowds, which has been pivotal to its economic recovery according to business leaders in the community.
A Japanese beverage store called LEMONADE by Lemonica is slated to open inside at Japan Center sometime in 2026.
The owners of Sakura Sakura, a retail store inside Japan Center Mall have pivoted to remain relevant.
Stephan Jordan and his wife opened their doors more than two decades ago.
“We’ve had to adjust,” said Jordan.
Their store is traditional by current standards, as Kiddleton arcades, featuring Japanese-style claw machine games, anime stores, and other new retailers have filled vacancies.
“I’m not quite sure what you even call them. There’s a new business over there and I walk in and I have no idea what’s going on,” said Jordan.
As parts of San Francisco rely on city-funded programs like Vacant to Vibrant to fill store-front vacancies, business leaders say Japantown has bucked that trend, and is thriving despite years-long construction projects.
Grace Horikiri is executive director of the Japantown Community Benefit District, which has attributed the area’s continued growth in part, to a younger demographic.
“It is that 18- to 30-year-old demographic when you come to Japantown. They are the ones out here in full force,” said Horikiri.
“There’s a lot of focus now on, I feel like now, on these toys, anime-related stuff,” said Oakland resident John Reinhart. “So I think it’s a lot more active now than what it used to be.”
Stores like Sakura Sakura are staying on top of Asian-inspired trends and products.
“As you can see, I never thought 27 years ago that I would have little plush dolls,” said Jordan.
The JCBD said there’s only one vacancy currently inside the mall. Jordan isn’t talking about closing his family’s shop anytime soon.
Japantown Peace Plaza is undergoing a major $34 million renovation to modernize and enhance the public space.
The JCBD says it is looking at ways to help some of the businesses on Osaka Way that will be impacted by construction in the coming months.
Construction began in 2024, with the plaza expected to reopen in 2026.