‘Samik Green 2nd’ and ‘Pungnap Miseong’ Join... Reconstruction Wave Spreads to Southeast Area

Myeongil Samik Green 2nd Phase and Pungnap Miseong 1st Phase Pass Detailed Safety Inspection
Shindong-A, Woosung, Godeok Hyundai, Hanyang 'Myeongil Four' Also Accelerate Progress
"Avoid 2-Year Residency Requirement"... Hurry Up for Union Approval

[Asia Economy Reporter Ryu Tae-min] The wave of reconstruction in Seoul, which began in the apartment complexes of Mokdong New Town in Yangcheon-gu, is spreading to the southeastern region, stimulating the market. Following the Olympic Athletes' Village complex earlier this month, mid-rise complexes in Songpa and Gangdong-gu, such as Myeongil Samik Green 2nd and Pungnap Miseong Mansion, have consecutively passed the threshold for reconstruction safety inspections, increasing expectations for reconstruction.

According to Gangdong-gu Office on the 15th, Samik Green Mansion 2nd (Samik Green 2nd) in Myeongil-dong, Gangdong-gu recently received a conditional pass with a D grade in the first detailed safety inspection for reconstruction. This apartment complex, with 2,400 households, is considered a barometer for mid-rise reconstruction in the Gangdong-gu area. Accordingly, Samik Green 2nd can proceed with the appropriateness review by public institutions (second detailed safety inspection). Since the safety inspection is a basic step that must be passed to proceed with procedures such as designation of maintenance zones, establishment of associations, and selection of construction companies, it is also called the first gateway to reconstruction.

The Samik Green 2nd Promotion Committee recently completed the application for approval to establish a reconstruction association. A committee official said, "We obtained about 95% consent at the association founding general meeting and applied for association establishment approval at the district office on the 5th," adding, "We expect approval within this month." Under the current Urban and Residential Environment Maintenance Act (Urban Maintenance Act), maintenance zones are designated based on safety inspection results after establishing a basic plan, but in this complex's case, it was designated as a maintenance zone in 2002 under the Housing Construction Promotion Act, before the Urban Maintenance Act was enacted.

Earlier, on the 12th, Miseong Mansion in Pungnap-dong, Songpa-gu, located along the Han River, also received a D grade in the detailed safety inspection service. Pungnap Miseong Apartment is a 36-year-old complex that began occupancy on June 6, 1985, with a total of 275 households.

As major mid-rise reconstruction promotion complexes overcome the first hurdle of safety inspections, the reconstruction expectations sparked earlier this year in Mokdong New Town appear to be shifting to the Songpa and Gangdong areas. On the 9th of this month, the Olympic Athletes' Village Apartment in Bangi-dong, Songpa-gu, known as a 'dark horse' in Gangnam reconstruction, also passed the first detailed safety inspection after a reattempt.

In the Myeongil-dong area, besides Samik Green 2nd, the 'Myeongil Four'?Sindonga, Woosung, Godeok Hyundai, and Hanyang Apartments?are also accelerating their reconstruction efforts. Currently, Sindonga (570 households) and Woosung (572 households) are undergoing the first detailed safety inspection. Godeok Hyundai (524 households) and Hanyang (540 households) have also joined the reconstruction project lineup.

Meanwhile, in the nearby Godeok district, the second detailed safety inspection results for Jugong Apartment Complex 9, the last among the Jugong apartments with 1,320 households, are expected next month. This complex, completed in 1985, received a D grade in the first detailed safety inspection last December. Industry experts predict that if the Dunchon-dong Jugong Apartments, the largest offering this year with 4,786 units for general sale, enter the market, demand interest in southeastern reconstruction will increase further.

Yeo Kyung-hee, senior researcher at Real Estate 114, said, "Complexes are rushing to establish associations and proceed with reconstruction to avoid regulations such as the two-year residence obligation," adding, "Especially, the project promotion in Songpa and Gangdong areas, where large aged complexes are concentrated, has recently become prominent."