Expectations for Mini New Town-Scale Residential Area with Sinheung Jugong and Sinheung 2 District
Prime Location Near Line 8 Station with High Accessibility to Jamsil and Gangnam
Sinheung and Sujin 1 Districts Also Announced for District Designation Public Inspection
[Asia Economy Reporter Onyu Lim] Redevelopment in the old downtown area of Seongnam City, Gyeonggi Province, where aging houses are densely packed, is gaining momentum. Following the management disposition approval of the Sanseong district, which consists of about 3,300 households, six years after its designation, the Sinheung 1 district and Sujin 1 district are expected to be designated soon. As redevelopment and reconstruction accelerate, expectations are growing for the creation of a new residential town in this area, comparable to a 'mini new town' connecting Bundang, Pangyo, and Wirye New Town.
According to the maintenance industry and Seongnam City Hall on the 8th, the city announced the approval of the management disposition plan for the Sanseong housing redevelopment project on the 7th. This comes six years after the designation of the maintenance district in 2014. Accordingly, a large-scale apartment complex with up to 29 floors, 43 buildings, and 3,372 households will be built in the Sanseong-dong 1336 area of Sujeong-gu. The Sanseong district is considered an excellent location among Seongnam's old downtown redevelopment sites due to its high accessibility to Gangnam. It is a station area adjacent to Sanseong Station on Seoul Subway Line 8, allowing commuting to Jamsil Station in 15 minutes. The construction is entrusted to a consortium of Daewoo Engineering & Construction, GS Engineering & Construction, and SK Engineering & Construction.
With the approval of the Sanseong district management disposition plan, the old housing dense area around Sanseong-dong Samgeori will be reborn as a new apartment village with 12,000 households. Sanseong Station Forestia (4,089 households), a reconstruction of the old Sinheung Jugong on the west side of the Sanseong district, began move-ins in July, and Sanseong Station Xi Prugio (4,774 households), redeveloping the Sinheung 2 district south of the Sanseong district, completed general sales last month.
A representative from real estate agency A in Sanseong-dong said, "The Sanseong-dong area is practically part of the Wirye New Town living area," adding, "As various living infrastructures are established, the value of redevelopment districts in this area is also rising." Currently, the premium for a 74㎡ (exclusive area) unit in the Sanseong district has exceeded 500 million KRW, and the actual transaction price for the same size in Sanseong Station Forestia surpasses 1.1 billion KRW.
Sujeong-gu and Jungwon-gu, the old downtown areas of Seongnam, are large-scale aging housing dense areas created in the late 1960s for the relocation of unauthorized shantytown residents from Cheonggyecheon in Seoul. Seongnam City has prepared a basic urban and residential environment maintenance plan to improve the residential environment in this area and is promoting phased maintenance projects.
Accordingly, the first-phase project sites such as Dandae district and Eunhaeng 2 district completed move-ins in 2012, and the second-phase projects including Sinheung 2 district and Geumgwang 1 district have also finished sales. The Sanseong district is grouped as a third-phase project site along with Sangdaewon 2 district.
Recently, redevelopment of the fourth-phase project sites, Sujin 1 district and Sinheung 1 district, has also become visible. Last month, Seongnam City started a public inspection announcement for the designation of redevelopment districts for Sujin 1 district and Sinheung 1 district, and they are expected to be designated as maintenance districts as early as this month.
A representative from real estate agency B in Sujin-dong said, "The project is progressing quickly and has good accessibility to Gangnam, so inquiries from Seoul investors are continuous," adding, "However, after the public inspection announcement, listings have been locked."
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