Sejong, Where House Prices Rose 45% Last Year... Large-Scale Housing Supply Planned This Year as Well

Perspective view of Sejong 6-3 Living Zone H2·3 Block 'Sejong Richensia Familier' (Provided by Kumho Industrial)

[Asia Economy Reporter Lee Chun-hee] With Sejong having ranked first nationwide in house price increase last year, large-scale housing supply is scheduled again this year, attracting the attention of demanders.

According to Sejong City's '2021 Apartment Supply Plan' on the 16th, a total of 7,861 apartment units will be supplied in Sejong this year. This includes 5,684 units for sale and 2,177 rental units, which is 4,676 units more than last year's 3,185 units (585 for sale, 2,600 rental).

The apartment complexes planned for sale this year in the Happy City are ▲6-3 Living Zone H2·3 Block with 1,350 units ▲6-3 Living Zone L1 Block with 1,350 units ▲6-3 Living Zone M2 Block with 995 units ▲6-3 Living Zone M4 Block with 1,180 units ▲6-3 Living Zone UR2 Block with 373 units ▲6-4 Living Zone UR1 Block with 436 units. Rental complexes include ▲4-1 Living Zone M4 Block with 1,032 units ▲4-1 Living Zone H1·2 Block with 536 units ▲6-4 Living Zone UR2 Block with 609 units.

According to the Korea Real Estate Board's monthly apartment sales price index on the same day, Sejong's house prices soared by a staggering 44.93% last year, fueled by the 'relocation theory.' Overall housing prices also rose by 37.05%. Jeonse (long-term deposit lease) prices surged as well, with apartments increasing by 60.60% and overall housing by 47.41%.

Looking at actual transaction prices, the 84㎡ (exclusive area) unit of 'The Sharp Hillstate' in Saerom-dong Saetteum Village 11 Complex was sold for 1.1 billion KRW in July last year, marking the first time in Sejong that an 84㎡ unit exceeded 1 billion KRW, showing a sharp price increase. Subsequently, 84㎡ apartments priced at 1 billion KRW appeared one after another in Eojin-dong The Sharp Lake Park and Dajeong-dong Gaon Village 10 Complex.

With Sejong's house prices rising significantly and the price ceiling system applied, the supply is expected to be cheaper than surrounding market prices. Since anyone nationwide can apply for subscription, competition for subscription this year is also expected to be very fierce.

Sejong Saerom-dong Saetteum Village 11 Complex 'The Sharp Hillstate' exterior view. In July last year, an 84㎡ (exclusive area) unit was sold for 1.1 billion KRW, surpassing 1 billion KRW for 84㎡ for the first time in Sejong. (Photo by Lee Chunhee)

This year's first housing supply in Sejong is 'Sejong Richensia Familier,' presented by the consortium of Kumho Industrial, Shindongah Construction, and HMG Partners in 6-3 Living Zone H2·3 Block this month. It consists of a total of 1,567 units, including 1,350 apartments ranging from 59 to 112㎡ across three basement floors to a maximum of 35 floors above ground, and 217 officetels ranging from 20 to 35㎡. The complex is praised for its convenient educational environment as an 'all school zone,' with a daycare center within the complex and kindergartens, elementary, middle, and high schools planned.

Additionally, Sejong Science and Arts Gifted School, International High School, and a nearby integrated humanities, science, and arts campus-type high school (under planning) are adjacent.

In 6-3 Living Zone M2 Block, 995 public sale units will be offered in the first half of the year. It is expected to be the first supply in Sejong under the new brand 'Andante' by Korea Land and Housing Corporation (LH). In 6-4 Living Zone UR1 Block and 6-3 Living Zone UR2 Block, 436 and 373 urban lifestyle housing units will be supplied, respectively.

In the second half of the year, a consortium of GS Construction, Taeyoung Construction, and Hanshin Engineering will supply 1,350 units in 6-3 Living Zone L1 Block. The complex is planned as a 'Chopuma' (elementary school nearby) complex with an elementary school within the complex. In 6-3 Living Zone M4 Block, 1,180 private-participation public housing units will be supplied.

Four rental complexes will be supplied. LH plans to offer 609 urban happy housing units in 6-4 Living Zone UR2 Block in the first half of the year. In the second half, LH plans 1,032 national rental housing units in 4-1 Living Zone M4 Block. In 4-1 Living Zone H1·2 Block, public-supported private rental apartments will be supplied by a consortium led by Gyeryong Construction, with 210 and 326 units respectively.