[Asia Economy Reporter Kang Joo-hee] Oh Chi-hoon, president of Daehan Steel and nephew of former Busan Mayor Oh Keo-don, is reported to have put up land near the planned site of the new airport on Gadeokdo Island for sale.
According to the office of Yoon Han-hong, a member of the People Power Party, on the 4th, Oh put up for sale 1,488㎡ (approximately 450 pyeong) of land near the planned site of the Gadeokdo new airport last month at a price of 3.5 million KRW per pyeong.
Considering that the asking price per pyeong in the Daehang-dong area of Gangseo-gu, Busan, has reached up to 7 million KRW as the new airport project becomes more concrete, this means the land was put up as a 'quick sale' at about half the market price.
If the transaction is completed at the quick sale price, Oh’s land is expected to be sold for around 1.575 billion KRW. Considering that Oh purchased the land in 2005 at 700,000 KRW per pyeong, it is expected that he will gain at least five times the market price difference.
Separately, the family of former Mayor Oh is also known to own about 20,000 pyeong of real estate in the Gadeokdo area under corporate names. Daehan Steel owns 21,300 pyeong (72,890㎡) in the Songjeong-dong area of Gangseo-gu, Busan, and Daehan Networks, a wholly owned subsidiary of Daehan Steel, owns a 1,990-pyeong (6,596㎡) factory site in Songjeong-dong.
As this fact became known, some have raised suspicions of speculative land purchases by the family of former Mayor Oh. Previously, former Mayor Oh had advocated for the construction of the Gadeokdo new airport since his candidacy for Busan mayor in 2004.
In this regard, former People Power Party lawmaker Yoo Seung-min criticized on his Facebook on the 3rd, saying, "Since the Gadeokdo new airport was a representative pledge of former Mayor Oh Keo-don, the land purchases by the Oh family cannot escape suspicion of speculation," and added, "Oh Keo-don, who caused the by-election, and his family benefiting from the hastily arranged Gadeokdo new airport development for election purposes is something the public cannot accept."
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