Daechi-dong 'Laedaepel' Surpasses 1 Billion KRW per 3.3㎡... Transaction Just Before Land Transaction Permission System Implementation

The front gate view of Raemian Daechi Palace.

[Asia Economy Reporter Donghyun Choi] A 59㎡ (exclusive area) unit in 'Raemian Daechi Palace' in Daechi-dong, Gangnam-gu, Seoul, was sold for 2.5 billion KRW, surpassing 100 million KRW per 3.3㎡. This is the second apartment to exceed 100 million KRW per 3.3㎡ since 'Acro River Park' in Banpo-dong, Seocho-gu last year.

According to the Ministry of Land, Infrastructure and Transport's real transaction price disclosure system on the 2nd, the 59㎡ unit in Raemian Daechi Palace was traded for 2.5 billion KRW on the 20th of last month. This is an increase of 220 million KRW compared to the 2.28 billion KRW transaction for the same area in October last year. The timing of the transaction is particularly notable. It occurred just before Daechi-dong was designated as a land transaction permission zone under the June 17 real estate measures (effective June 23). The 100 million KRW per 3.3㎡ mark was last recorded in October last year when an 84㎡ unit in Acro River Park, Banpo-dong, was sold for 3.4 billion KRW.

Industry insiders attribute the price surge of Raemian Daechi Palace to a rush of last-minute demand caused by the designation of the land transaction permission system. In fact, when Daechi-dong, Cheongdam-dong, Samsung-dong, and Jamsil-dong were designated as land transaction permission zones under the June 17 measures, several complexes recorded new high prices just before the system took effect.

On the 22nd of last month, an 84㎡ unit in Rescence, Jamsil-dong, Songpa-gu, was sold for 2.3 billion KRW, a 150 million KRW increase from the previous transaction. The 105㎡ unit in Lotte Castle, Daechi-dong, also set a new record by being sold for 2.05 billion KRW on the 21st of last month. Additionally, 'Samsung Lotte Castle Premier', 'Raemian Samsung 1st Complex', and 'Hillstate 2nd Complex' in Samsung-dong, Gangnam-gu, also recorded new high prices.