Among a total of 140,000 households, 65% concentrated in the Seoul metropolitan area including 41,000 households in Seoul
More than 10,000 households planned for supply in Daegu and Busan
High popularity due to strong transportation and living infrastructure
[Asia Economy Reporter Lee Chun-hee] This year, 140,000 households will be supplied nationwide through redevelopment and reconstruction projects. These redevelopment areas are mostly old downtown areas with well-established infrastructure, making them highly popular regions.
According to Real Estate 114 on the 14th, a total of 136,076 apartment units will be supplied through redevelopment projects in 33 cities and districts nationwide this year. By region, ▲Seoul 41,015 units ▲Gyeonggi 31,063 units ▲Incheon 17,692 units, with 65% concentrated in the metropolitan area. Additionally, ▲Daegu 16,188 units ▲Busan 14,965 units are also planned.
Redevelopment projects target aging residential areas within the urban centers of the respective regions. Since these areas have traditionally served as central residential zones, infrastructure such as transportation, school districts, and commercial facilities are often already well established. Considering that new town developments and other new housing development districts require considerable time to expand transportation networks such as buses and subways, this is a significant advantage.
In fact, according to the Korea Real Estate Board’s subscription website, 8 out of the top 10 complexes with the highest subscription competition rates last year were supplied through urban redevelopment projects. In particular, in Seoul, 32 out of 57 complexes supplied last year were redevelopment or reconstruction complexes, all successfully closing first-priority subscriptions. Notably, 'Le El Daechi' supplied in Daechi-dong, Gangnam-gu in November last year recorded an average competition rate of 212 to 1, the highest average competition rate among complexes supplied last year.
The popularity is similar in provincial areas. The average subscription competition rate for 'Yeomju The Sharp Central Park,' supplied in Hwajeong-dong, Seo-gu, Gwangju in September last year, was 88 to 1. It was the highest competition rate among complexes supplied in Gwangju since online subscription applications began.
An industry expert said, “Areas undergoing urban redevelopment projects already have solid living infrastructure, making them highly preferred residential areas,” adding, “Since residents can enjoy well-established infrastructure and the scarcity value of new apartments stands out, the popularity of complexes supplied through redevelopment and reconstruction will continue among demanders.”
▲ Perspective view of 'Maegyo Station Prugio SK View' in Paldal-gu, Suwon-si, Gyeonggi-do (Provided by Daewoo E&C)
A considerable supply through downtown redevelopment is also scheduled this month. GS Construction plans to supply 'Cheongna Hills Xi,' a reconstruction of Namsan 4-5 District in Jung-gu, Daegu, this month. It consists of 13 buildings ranging from 3 basement floors to 29 above-ground floors, totaling 947 households. Among them, 656 units with exclusive areas of 59 to 101㎡ will be available for general sale. Cheongna Hill Station, a transfer station for Daegu Subway Lines 2 and 3, is within a 5-minute walk, and it is also adjacent to Dalgubeol-daero, Daegu’s main arterial road. Educational facilities such as Namsan Elementary School, Gyesung Elementary and Middle Schools, Gyeonggu Middle School, Seongmyeong Girls’ Middle School, and Gyeongbuk Girls’ High School are nearby, along with sufficient living infrastructure including Homeplus, Hyundai Department Store, and Keimyung University Dongsan Hospital.
Daewoo Construction and SK Construction will also supply 'Maegyo Station Prugio SK View' through the redevelopment of Paldal 8 District in Maegyo-dong 209-14, Suwon-si, Gyeonggi Province. The complex will have a total of 3,603 households, with 1,795 units sized 59 to 110㎡ available for general sale. It is a station-area complex adjacent to Maegyo Station on the Bundang Line, and Suwon Station, where the GTX-C line is planned, is just one stop away, providing excellent metropolitan transportation. Additionally, a daycare center and Maegyo Elementary School are planned within the complex, and it is regarded as a 'Hakpuma' complex near Suwon Middle and High Schools.
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