Encouraging Investment Based on Groundless Route Speculation
Mentioning Specific Stops and Beneficiary Complexes
The so-called 'Gyeonggi Southern Metropolitan Railroad,' promoted by four local governments including Suwon, Yongin, Seongnam, and Hwaseong, is becoming a catalyst in the regional real estate market. Although the project is still at the 'proposal' stage by the local governments, frontline real estate agencies and developers are using unfounded detailed routes and beneficiary complexes as marketing tools.
According to frontline real estate industry sources in the southern Gyeonggi region such as Yongin and Hwaseong, right after the four local governments announced the plan to establish the 'Gyeonggi Southern Metropolitan Railroad' on the 10th, posts utilizing this for real estate marketing have been continuously appearing online.
Mayors of four cities in the southern Gyeonggi region?Suwon, Yongin, Seongnam, and Hwaseong?are presenting a joint petition on the 10th, requesting the government to include the 'Southern Gyeonggi Metropolitan Railroad Project' in the national 'Railway Network Construction Plan.' [Photo by Yongin City]
The four local governments jointly requested that the newly proposed 'Gyeonggi Southern Metropolitan Railroad,' connecting Seoul Sports Complex Station~Suseo~Seongnam~Yongin~Suwon~Hwaseong, be reflected in the Ministry of Land, Infrastructure and Transport's '5th National Railroad Network Construction Plan.'
After the announcement by the local governments, online posts have been increasingly appearing that add details by mentioning specific passing areas and stops on the route, encouraging real estate purchases.
On one real estate community, specific stops on the route were mentioned, even estimating the location of the planned train depot. Some brokerage offices and sales agencies are pointing out specific beneficiary complexes in online communities. In fact, one cafe post introduces the 'Gyeonggi Southern Metropolitan Railroad Bongdam Station planned site' while specifically mentioning nearby beneficiary apartments.
The government and the local governments involved have warned against such speculation. At a meeting on the 10th, the mayors of the four cities decided not to disclose detailed routes until the project is reflected in the government's 5th National Railroad Network Construction Plan, judging that premature disclosure could potentially encourage speculation. The Ministry of Land, Infrastructure and Transport, the competent authority, also stated that if the route is exposed in advance, it will not be included in the national railroad network plan.
In fact, the 'National Railroad Network Construction Plan' is the highest-level statutory plan in the railway sector, containing a 10-year railroad network construction plan. Therefore, the current joint proposal is merely a conceptual plan at the local government level, with no concrete plan or even confirmation of whether the project will proceed. Even if it is reflected in the plan, there are many hurdles before the actual project can proceed. During the project promotion process, there is a high possibility of route changes considering 'economic feasibility' and 'demand.'
A Yongin city official said, "There is no finalized detailed plan regarding the railroad route or stops, which are still being conceptualized on a large scale," and urged consumers to be cautious about investments based on unverified rumors.
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