'Hillstate Dobong Station Welga' Standing Out Amid Decrease in Supply of Small and Medium-Sized Apartments

As the supply of small- to medium-sized apartments decreases, residential officetels that offer amenities comparable to apartments are gaining popularity. These officetels are subject to relatively fewer regulations and are reasonably priced. Recently, they have adopted slab-type floor plans with ample storage space, making them highly preferred residential products.

In fact, the nationwide supply of new small- to medium-sized apartments is declining. According to data from Real Estate 114, the volume of units with exclusive areas of 60 to 85㎡ (excluding rentals) that have been sold or are scheduled for sale nationwide peaked at 316,653 units in 2015, the highest since records began in 2000. However, the supply has since decreased to 260,788 units in 2016, 179,468 units in 2017, 150,504 units in 2018, 184,049 units in 2019, and 152,708 units in 2020. Although there was a slight increase in 2019, the volume declined again this year.

The industry expects the popularity of residential officetels to rise due to this shortage in small- to medium-sized apartment supply. As family sizes gradually shrink, demand for space-efficient small- to medium-sized units is increasing, and the evolving features of recently supplied residential officetels provide a convenient living environment.

With the growing popularity of residential officetels, premiums are now being added even to officetels that previously offered little prospect for capital gains. This is attributed to demand shifting to residential officetels from those who failed to win new apartment subscriptions or have low subscription scores due to the shortage of small- to medium-sized apartments.

For example, according to actual transaction data from the Ministry of Land, Infrastructure and Transport, the residential officetel ‘Hillstate Samsong Station’ (moved in June 2019) located in Goyang, Gyeonggi-do, with an exclusive area of 84㎡ Type B, was traded for 730 million KRW in November this year, rising by more than 300 million KRW compared to the original sale price of 422.7 million KRW. This complex features a south-facing layout with a 3Bay slab-type structure placing two bathrooms, three bedrooms, a master bedroom dressing room, and an entrance storage room, offering the same amenities as a typical apartment.

Meanwhile, a residential officetel scheduled for supply within this year is attracting attention. Hyundai Engineering plans to offer the residential officetel ‘Hillstate Dobong Station Welga’ in Dobong-dong, Dobong-gu, Seoul, in December. The complex will consist of four buildings, ranging from two basement floors to 20 floors above ground, with a total of 355 units sized between 59 and 84㎡ exclusive area.

As a residential officetel, Hillstate Dobong Station Welga allows cross-ventilation in all units and provides ample storage spaces such as built-in wardrobes and dressing rooms. The 59㎡ units feature a 3Bay layout with a living room and two bedrooms, while the 74㎡ and 84㎡ units have a 4Bay layout with a living room and three bedrooms. Storage rooms for luggage are available on basement floors 1 and 2, and some units include differentiated special designs such as terraces, duplex attics, and penthouses. Community facilities will include a fitness center, indoor golf practice range, small library, and Moms Station. Additionally, approximately 5,300㎡ of outdoor space exclusively for residents (including a children's playground and pond park) will be created on the first and second floors above ground, providing a pleasant living environment.

The complex is within walking distance of Dobong Station on Subway Line 1 and Dobongsan Station on Lines 1 and 7. From Dobong Station on Line 1, residents can reach Cheongnyangni Station?a transfer station for Lines 1, Gyeongui-Jungang, Gyeongchun, and Suin-Bundang?in about 20 minutes. From Dobongsan Station on Line 7, Gangnam-gu Office Station can be reached in about 30 minutes without transfers.

The nearby metropolitan area express railway (GTX) Line C is scheduled to stop here, and once opened, it will enable travel from Dobong Station (with a transfer at Chang-dong Station) to Samseong Station in about 10 minutes, further improving access to Gangnam. GTX Line C is planned to begin construction in 2021.

The area surrounding the complex is rich in living infrastructure. Convenience and cultural facilities such as Homeplus (Banghak branch) and Lotte Cinema (Suraksan branch), as well as administrative facilities including Dobong-gu Office and the Northern District Court, are easily accessible. With Dobongsan and Suraksan mountains flanking the complex, residents can enjoy a pleasant living environment, complemented by abundant green spaces such as Jungnangcheon Riverside Park and Seoul Changpo Garden.

Being supplied as officetels, these units have the advantage of relatively fewer regulations. Unlike apartments, anyone aged 19 or older residing in South Korea can apply for subscription regardless of whether they have a subscription savings account, residency restrictions, or home ownership status. This is expected to attract significant interest from newlyweds and real demand buyers with low subscription scores.