Building in Nonhyeon-dong, Gangnam Purchased for 12.8 Billion KRW in 2020
Group Girls' Generation member Yuri (34) is estimated to have seen the value of a building she purchased in 2020 increase by about 10 billion KRW over four years. This estimate is based on recent transaction prices of nearby buildings.
Previously, in July 2020, Yuri bought a building in Nonhyeon-dong, Gangnam, Seoul, consisting of one basement floor and five above-ground floors, for 12.8 billion KRW. The land area was 481.1㎡, purchased at 87.95 million KRW per 3.3㎡. She bought it under her personal name and secured a loan of 10.5 billion KRW. Including additional costs such as acquisition tax, legal fees, and brokerage fees amounting to 700 million KRW, the cash amount spent was approximately 3 billion KRW. The loan-to-value ratio was 82%.
The building, completed in 2003, is located in Nonhyeon-dong on the side street of Seolleung-ro, where Hakdong Elementary School is situated. It is positioned on a three-sided corner, notable for its excellent visibility and accessibility. It is a triple station area, about a 3-minute walk from Seonjeongneung Station, a transfer station for lines 7 and 9, and about a 10-minute walk to Gangnam-gu Office Station.
As building prices in the Nonhyeon-dong area have recently risen, it is analyzed that the value of the building Yuri owns has also increased significantly. In June last year, a newly constructed building located 130 meters from Yuri’s building was sold at 157.5 million KRW per 3.3㎡. Multiplying this price by the land area of Yuri’s building results in an estimated value of 23 billion KRW.
However, since this building is newly constructed, while Yuri’s building was built in 2003 and remodeled in 2017, the price of Yuri’s building may be somewhat lower. Regarding this, Building Road Real Estate Brokerage stated, "Even after deducting new construction costs, the land price is about 131.09 million KRW per 3.3㎡," and predicted that if it were to be put on the market immediately, it would be recognized at a value exceeding 19.1 billion KRW. This suggests an expected market price gain of 6.3 billion KRW over four years.
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