Shinchon Gran Xi Sale Asking Price Hits 2 Billion Won
Ahyeon, Yeomni, Daehyeong Redevelopment Drives Concurrent Price Rise
Heukseok Acro River Heim and Gyeonghuigung Xi Also Reach 2 Billion Won Asking Price
Price Surge Centered on Leading Properties
[Asia Economy Reporter Lee Chun-hee] Apartments priced around 2 billion KRW for 84㎡ (exclusive area), once considered exclusive to the Gangnam 3 districts (Gangnam, Seocho, Songpa), are now emerging one after another in non-Gangnam areas as well. Although the government has repeatedly stated that "housing prices have stabilized," the market still shows a trend of localized price increases.
According to frontline real estate agencies on the 24th, an 84㎡ apartment listed at 2 billion KRW has appeared in Sinchon Gran Xi apartments in Daehyeong-dong, Mapo-gu, Seoul. This complex, redeveloped from Daehyeong 2 district, is a newly built apartment complex with 1,248 households that moved in last March. It is considered a prime location directly adjacent to Ewha Womans University Station on Subway Line 2.
The representative of real estate agency A in the area said, "This property has a 'unit separation' structure with separate partitions inside the house and even separate entrances," adding, "Since universities such as Sogang University, Ewha Womans University, and Yonsei University are densely located nearby, it seems that high asking prices have been formed as rental income from one-room units can also be expected."
Recently, this area has seen a sharp rise in housing prices as the old residential neighborhoods in Ahyeon, Yeomni, and Daehyeong-dong have been transformed into large-scale new apartment complexes through redevelopment. The high-priced apartment area is also expanding from Ahyeon-dong Mapo Raemian Prugio, known as the 'downtown flagship,' toward Ewha Womans University Station. Besides Sinchon Gran Xi, the area has seen the recent move-in of ▲ ePyeonhansesang Sinchon (1,910 households) ▲ Hillstate Sinchon (1,226 households) ▲ Mapo Xi Phase 3 (927 households) within the last two years, and Mapo Prestige Xi in Yeomni-dong with 1,694 households is scheduled for completion in March next year.
With the influx of large-scale move-ins, prices are also rising steeply. The 84㎡ move-in rights for Mapo Prestige Xi in Yeomni-dong were traded at 1.81 billion KRW on the 5th. Hillstate Sinchon reached 1.6 billion KRW (July), and ePyeonhansesang Sinchon hit 1.5 billion KRW (August), all maintaining an upward trend well above 1.5 billion KRW.
Currently, excluding the Gangnam 3 districts, no place other than the high-end residential-commercial complex Trimage in Seongsu-dong 1-ga, Seongdong-gu, along the Han River, has seen actual transaction prices for 84㎡ exceed 2 billion KRW. This is why the industry is paying attention to the emergence of 'non-Gangnam 84㎡ 2 billion KRW' apartments.
On December 17 last year, the 84㎡ move-in rights for Acro River Heim in Heukseok-dong, Dongjak-gu, were traded at 1.98 billion KRW, nearly reaching 2 billion KRW for the first time. However, due to the impact of the 12·16 real estate measures announced the day before and the spread of COVID-19, prices dropped to 1.6 billion KRW in May.
Nevertheless, this complex saw actual transaction prices soar back to 1.9 billion KRW in July, approaching 2 billion KRW again. A representative from real estate agency B in Heukseok-dong said, "Not all units are priced that high yet, but units with Han River views have asking prices exceeding 2 billion KRW." Another leading non-Gangnam area, Gyeonghuigung Xi in Jongno-gu, also saw transactions at 1.8 billion KRW last month, with some listings reportedly approaching 2 billion KRW in asking price.
An industry insider said, "The upward trend continues mainly in newly built complexes with good proximity to workplaces and views," adding, "Since most of these areas are undergoing rapid changes in residential environments through large-scale redevelopment projects, there is a high possibility that housing prices will continue to rise interactively."
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