[Report] "30 Minutes to Gangnam"... Seoul Living Zone 'Hanam Gyosan' Buzzing

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A panoramic view of the area around Chungung-dong, Hanam-si, Gyeonggi-do, the planned site for Hanam Gyosan District (Photo by Lee Chunhee)

[Asia Economy Reporter Moon Jiwon, Hanam=Reporter Lee Chunhee] "If a city railway that reaches Gangnam in 30 minutes is established, it essentially becomes part of the Seoul living area. The location is excellent, so many people are interested." (Hanam City A Real Estate Agent)

On the morning of the 22nd, the area around Gyosan-dong, Hanam, which was reached in less than 20 minutes by bus from the entrance of the Olympic Athletes' Village Apartments in Songpa-gu, Seoul, had a quiet atmosphere that hardly felt like the Seoul city boundary. This is where the Hanam Gyosan District, announced in the metropolitan transportation improvement plan by the Ministry of Land, Infrastructure and Transport the day before, will be developed.

The Gyosan District is located across the Hanam Junction where the Seoul Ring Expressway and Jungbu Expressway intersect. Around Seohanam-ro, which runs through the Gyosan District, there were only small factories and restaurants here and there, with no notable high-rise buildings in sight. This is because the area had been tightly restricted as a greenbelt.

Occasionally, trucks coming and going for construction in the nearby Gam-il District were busy on the roads from early morning. Various banners were hung along the roads to announce public hearings for compensation procedures related to district development and to promote unsold apartments.

However, with the announcement of the metropolitan transportation improvement plan, the Gyosan District is receiving the hottest attention among the 3rd phase new towns in the metropolitan area. This is because the city railway line, originally planned to connect to Ogeum Station on Subway Line 5 by 2028, is now highly likely to be changed to connect to Gangnam. The Ministry of Land, Infrastructure and Transport, the main government agency, announced in the plan that 1.54 trillion won will be invested to build the 'Songpa~Hanam' city railway (12 km) by 2028.

This line was originally scheduled to connect to Ogeum Station on City Railway Line 3, but it is known that the direction was changed to establish new stations in the Gangnam area, including Jamsil, Seoul.

The Gyosan District will be developed over an area of 64.49 million square meters, covering Gyosan, Deokpung, Sangsachang, and Sinjang-dong in Hanam City. The housing construction scale is 32,000 households, slightly less than Wirye New Town's 43,000 households. If the planned subway network is completed, it will take only 30 minutes by public transportation from Hanam to Seoul's Gangnam area. Because of this, the industry analyzes that the Hanam Gyosan District could effectively establish itself as a new town on the scale of Wirye.

Real estate agencies in the area expect real estate demand to concentrate in Hanam. A representative from Deokpung-dong B Real Estate said, "Since the discussion of the 3rd phase new town construction began, interest has greatly increased, with rent prices already rising here. Since there is a plan to open a subway line connecting to Gangnam, demand is expected to surge during the new town sales in the future."

According to the Korea Real Estate Board, rent prices in Hanam rose by 0.44% this week, showing a noticeable upward trend. Considering that the average rent price increase rate in Gyeonggi Province is 0.08%, it can be interpreted that there is particularly high rental demand in Hanam. Since pre-subscription for the 3rd phase new towns will begin next year, many people are reportedly moving into Hanam early to meet the first-priority residency requirements.

The Gyosan District is also scheduled to have its "first village pilot project" by the end of next year. A Korea Real Estate Board official supported this analysis, saying, "Hanam City is influenced by the subscription demand for the 3rd phase new towns, with rental demand concentrated mainly in mid- to low-priced complexes in Deokpung, Sinjang, and Pungsan-dong."

Meanwhile, unlike the 1st and 2nd phase new towns, the government plans to maximize transportation network expansion before residents move into the 3rd phase new towns such as Hanam Gyosan District. To this end, in addition to the 'Songpa~Hanam' city railway, bus-only lanes will be installed on the Dongnam-ro connecting road, and a Bus Rapid Transit (BRT) system between Cheonho and Hanam will be introduced up to the transfer hub within the district.