- Despite the Real Estate Slump, Consecutive 'Record Highs' in Luxury Residential Complexes in Central Seoul
- 'Hillstate Samseong' Secures Prime Location in Gangnam... Investment Inquiries Continue
Recently, luxury residential complexes located in the heart of Seoul have been showing remarkable performance. Proving the saying "luxury goods are recession-proof," prices have surged again with premiums added on top of existing prices, setting new record highs. In particular, in the Gangnam area, known as Seoul's representative affluent district, some complexes have seen premiums worth hundreds of millions of KRW.
According to actual transaction data from the Ministry of Land, Infrastructure and Transport, a 155㎡ unit in Boutique Monaco (occupied since August 2008) in Seocho-dong, Seocho-gu, set a new record price of 3.48 billion KRW in March this year. Compared to the transaction price of 2.5 billion KRW in November last year, this is a price increase of about 1 billion KRW.
Also, a 206㎡ unit in Nonhyeon Royal Palace (occupied since December 2005) located in Nonhyeon-dong, Gangnam-gu, was traded for 2.88 billion KRW in April this year, surpassing the previous highest price of 2.75 billion KRW recorded in October last year. A 121㎡ unit in Tower Palace Phase 1 (occupied since October 2002) in Dogok-dong changed hands for 2.9 billion KRW in March this year, and a 139㎡ unit in the nearby SK Leaders View (occupied since October 2005) set a new record price at 2.4 billion KRW.
Meanwhile, a luxury residential complex in Gangnam was traded for 10 billion KRW. It is a 247㎡ unit in Lotte World Tower and Lotte World Mall (Signiel Residence, occupied since February 2017) in Songpa-gu, Seoul, marking the highest price among officetel sales transactions this year. A relatively smaller 154㎡ unit in the same complex was also sold for 5.4 billion KRW in the same month.
Industry insiders explain that due to recent high-intensity loan regulations and interest rate hikes increasing uncertainty in the real estate market, the preference for luxury complexes in central Seoul, known as "smart single properties," is rising. These complexes mainly occupy prime locations with access to various infrastructures within the area, ensuring solid demand from specific asset owners and a large waiting list, making them resilient even during economic downturns.
Luxury residential complexes currently on sale are also highly popular. A representative example is "Hillstate Samsung," launched by Hyundai Construction in the Samseong-dong area of Gangnam-gu, Seoul, which has attracted significant interest from buyers since its launch. It consists of a total of 165 units ranging from 50 to 84㎡, spread over 7 basement floors to 17 above-ground floors.
Hillstate Samsung is located in the heart of Gangnam, offering abundant living infrastructure. It is close to shopping and cultural facilities such as Starfield COEX Mall, Hyundai Department Store Trade Center branch, and E-Mart Yeoksam branch, as well as large hospitals including Seoul Medical Center Gangnam Branch and Gangnam Severance Hospital.
Additionally, the complex is near the section between Samseong Station and Bongeunsa Station, where the Yeongdong-daero underground space complex development project is underway, promising potential benefits. Within a 1 km radius, there is also the Hyundai Motor Group Global Business Center (GBC), and once development is complete, the demand from the surrounding area is expected to increase significantly.
It is also noteworthy that this is a rare branded residential officetel in the vicinity. With a sophisticated exterior design, it is expected to become a landmark complex representing Samseong-dong, and it features 100% self-parking design to maximize convenience for residents. In particular, the 76㎡E, 80㎡F types, as well as all 84㎡ types, offer layouts with 3 bedrooms, a living room, kitchen, dressing room, and 2 bathrooms, maximizing space utilization and serving as alternatives to small apartments.
Of particular note is the provision of interest on interim payment loans under a "fixed fixed-rate interest deferred payment system." If the fixed interest rate is exceeded upon execution of the interim payment loan, the project owner plans to cover the excess cost, protecting buyers from the impact of rising interest rates. This allows buyers to reduce their financial burden until moving in.
Hillstate Samsung is currently operating a model house.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
