Hot Songdo Apartment Prices... 84㎡ Sale Price Jumps from 1.3 Billion to 1.47 Billion Won in 2 Weeks

The Sharp First Park 84㎡ Sold for 1.47 Billion Won
Yeonsu-gu Weekly Price Increase Rate Soars Up to 0.66%
Continuous Transportation and Job Boosts from GTX, K-Bio Lab Hub Drive Rise

Apartment prices in Songdo International City, the eldest among Incheon's three major free economic zones, are rising relentlessly, with the actual transaction price for an 84㎡ unit approaching 1.5 billion KRW. A panoramic view of The Sharp First Park complex in Songdo International City. (Photo by Ryu Taemin)

[Asia Economy Reporter Ryu Tae-min] The housing prices in the Songdo International City area, known as the "Gangnam of Incheon," are showing a remarkable upward trend. The price of the popular 84㎡ (exclusive area) units has risen by more than 400 million KRW this year alone, with some complexes nearing the 1.5 billion KRW mark. The confirmation of the Metropolitan Area Express Railway (GTX)-B line, along with consecutive bio-industry job boosts such as the 'K-Bio Lab Hub' and the Bio Process Workforce Training Center, have heightened expectations for value appreciation.

According to the Korea Real Estate Board on the 7th, apartment sale prices in Yeonsu-gu recorded the highest increase rate in Incheon for 12 consecutive weeks from the second week of July to the fourth week of last month. Until May and June, Bupyeong-gu had the highest price increase rate in Incheon. However, Yeonsu-gu's price increase rate surged to 0.53% in the second week of July and has maintained a high increase rate of 0.51?0.66% weekly since then.

The rise in Yeonsu-gu's sale prices is led by apartments in Songdo-dong, where Songdo International City is located. The 84㎡ unit (exclusive area) in The Sharp First Park Block 15, near Incheon National University Station on Incheon Subway Line 1, was sold for 1.47 billion KRW on the 11th of last month. The previous highest price for this unit was 1.3 billion KRW on August 28, meaning the price jumped by 170 million KRW in just two weeks. Compared to the sale price of 1.07 billion KRW in December last year, it has surged by 400 million KRW in nine months.

The price trends of other complexes in the area are similar. The 84㎡ unit in The Sharp First Park Block 14 set a new record by changing hands for 1.37 billion KRW on the 11th of last month. The Sharp Central City 84㎡ nearby recorded a sale price of 1.15 billion KRW in August, and Songdo Edufore Prugio 84㎡ was sold for 1.1 billion KRW last month.

The surge in Songdo apartment prices has been triggered by transportation benefits such as the GTX-B line. Additionally, Songdo International City has been selected as a candidate site for the K-Bio Lab Hub, which is being promoted to foster bio startup companies, bringing a series of large and small development benefits. The K-Bio Lab Hub, named after LabCentral, a Boston-based bio startup support organization famous for producing the bio company Moderna, is planned to be established within the Yonsei University International Campus in District 7. Songdo International City already houses leading bio companies such as Samsung Biologics and Celltrion, raising expectations that the area will establish itself as a domestic bio hub.

Lim Byung-chul, Senior Researcher at Real Estate 114, said, "Songdo already has the necessary infrastructure, and with the GTX benefits, commuting issues are likely to be resolved, attracting demand." A representative from real estate agency A in Songdo-dong stated, "With the establishment of the K-Bio Lab Hub, residents have high expectations that job opportunities will increase through synergy with existing bio companies, revitalizing the surrounding area."