Although the real estate market downturn continues mainly in provincial areas, the housing sales market in Cheongju, Chungbuk is experiencing a boom. This phenomenon is emerging due to abundant development prospects, expansion of metropolitan transportation networks, and price competitiveness resulting from its status as a non-regulated area.
A perspective view of Cheongju Gagyeong I-Park Complex 6, which recorded an average competition rate of 98 to 1 in the first-priority subscription recruitment. [Photo by HDC Hyundai Development Company]
According to Korea Real Estate Board’s Subscription Home on the 14th, the first-priority subscription for 709 units of ‘Cheongju Gagyeong I-Park Complex 6’ held on the 5th attracted 69,917 applicants, recording a competition rate of 98 to 1.
In particular, for the 84㎡ exclusive area where 104 units were offered, a whopping 26,987 people applied, showing a competition rate of 250.74 to 1.
On the same day, ‘Wonbong Park Hildesheim’ in Cheongju, which also held a first-priority subscription, received applications from 36,361 people for 824 units.
The Cheongju housing sales market had shown high competition rates in previous subscriptions as well. Including Shin Young Jiwel Prugio Technopolis Central (subscription competition rate 73.75 to 1) launched in April, Harrington Place Technopolis (April, 57.59 to 1), Technopolis Hildesheim (April, 48.27 to 1), and The Sharp Ochang Prestige (July, 12.97 to 1) all closed subscriptions within the ranking.
The strong housing sales in Cheongju are interpreted as an effect of large-scale development prospects. First, SK Hynix plans to build a new fab (factory) M15X on about 60,000㎡ of land within the Cheongju Technopolis Industrial Complex, with a project budget of 15 trillion won planned over the next five years.
Also, a multi-purpose synchrotron radiation accelerator construction project worth over 1 trillion won is underway on a 540,000㎡ site in the Cheongju Ochang Technopolis Industrial Complex. This is a massive national project expected to generate a production inducement effect of 6.7 trillion won, a value-added inducement effect of 2.4 trillion won, and create about 137,000 jobs.
Transportation developments have also played a role. There are abundant facilities such as Seocheongju IC on the Jungbu Expressway, Gangseo Hi-Pass IC (scheduled to open by the end of the year), and the planned high-speed rail Bukcheongju Station.
The last housing supply of the year will be released in Cheongju, which embraces these development prospects. It is ‘Cheongju Dongil Highvill Parklane Complex 2’ supplied by Dongil Construction in A1 Block of Gaesin 2 District Urban Development Project in Seowon-gu. It consists of 8 buildings from 2 basement floors to 29 above-ground floors, with exclusive areas of 84 and 114㎡, totaling 800 units. It is a follow-up complex to ‘Cheongju Dongil Highvill Parklane’ supplied in April, and upon completion, it will be developed into a large complex with a total of 1,600 units.
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