As polarization intensifies in the commercial property investment market, buyers are beginning to distinguish between the good and the bad more seriously. Amid concerns over sluggish commercial property sales due to the overall decline in consumer sentiment caused by the COVID-19 pandemic, commercial facilities with excellent locations and abundant hinterland demand are performing well, achieving full sales in a short period.
For example, ‘Hills Avenue Bukwirye,’ which sold out quickly in September last year in Wirye New Town, Gyeonggi Province, received high market acclaim due to its high accessibility as a street commercial complex and its status as a branded commercial facility, supported by the strong hinterland demand from the 1,078 households of Hills State Bukwirye residents and surrounding areas.
The industry views the commercial property sales market as undergoing a similar buyer selection process as the housing market. As market uncertainty grows, there is an increasing tendency to invest in verified products. It is analyzed that the popularity of prime commercial properties equipped with abundant hinterland demand, product designs that enhance customer attraction, and well-known brands will continue to rise.
In this context, ‘Hills Avenue Gamsam Central,’ currently being sold by Hyundai Engineering in Dalseo-gu, Daegu Metropolitan City, is attracting attention. This commercial property has gained high interest from buyers as a verified product in terms of location and quality, following the rapid contract sell-out of the previously sold residential complex Hills State Gamsam Central, which sold out both officetels and apartments in a short period.
In fact, the officetels were fully sold out within three days of contract signing, and the apartments recorded a high competition rate with an average of 16.38 to 1 for first-priority applicants, also selling out quickly. Given this situation, buyers’ interest continues in ‘Hills Avenue Gamsam Central,’ the commercial facility within the complex. According to sales officials, contracts for the commercial facilities are currently proceeding successfully, and remaining units are being sold on a first-come, first-served basis.
Hills Avenue Gamsam Central caters to the residential demand of 512 households from Hills State Gamsam Central apartments and officetels. The area around Jukjeon Station, where the commercial facilities are located, has established itself as a representative transit-oriented residential town in Dalseo-gu, densely populated with approximately 7,300 households, providing a solid hinterland demand. Additionally, large-scale commercial districts are planned to be formed alongside the surrounding mixed-use complexes under development, and with the prime location near Jukjeon Station, excellent transportation infrastructure is expected to support abundant hinterland demand.
Moreover, the commercial facilities are designed as street-level shops along a main road, offering high visibility and accessibility, making it easy for residents of nearby complexes to visit. Particularly, as these are branded commercial properties under the trusted and preferred ‘Hills State’ brand, strong brand power can be expected.
A sales official stated, “As uncertainty in the commercial property market increases, location has become a basic requirement, and the hinterland demand and product composition that actually lead to sales have become even more important. Hills Avenue Gamsam Central is attracting high interest from buyers because it is located in an area with abundant residential demand and is designed as a street-type commercial complex with relatively better accessibility than typical box-type shops.”
Meanwhile, Hills State Gamsam Central consists of two apartment buildings ranging from basement level 5 to a maximum of 45 floors above ground, with 393 units sized between 84 and 175 square meters, one officetel building with 119 units sized 84 square meters, and the commercial facility ‘Hills Avenue Gamsam Central’ within the complex. The commercial facilities will be located on the first and second floors above ground, with 37 units on the first floor and 49 units on the second floor, totaling 86 units.
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