Restricted Trading in Majang-dong 382 Area from January 2, 2025, to January 28, 2026, and in Sagun-dong 293 Area plus One Other Location from January 4, 2025, to January 28, 2026... Five-Year Trading Ban in Designated Permit Zones to Prevent Speculation and Promote Healthy Land Transactions in Areas Prone to Overheated Real Estate Due to Public Redevelopment Projects
Seongdong-gu, Seoul (District Mayor Jeong Wono) announced that the area around 382, Majang-dong and two other locations (68,698.8㎡) were re-designated as land transaction permission zones on December 19.
The land transaction permission system requires prior approval from the mayor, county governor, or district mayor of the relevant area before buying or selling land exceeding a certain size. The purpose is to prevent speculation in areas where real estate may overheat due to public redevelopment projects and to promote sound land transactions.
On the 19th, the Seoul Metropolitan Government announced the designation and adjustment of land transaction permission zones, newly designating or re-designating 67 sites including those selected for the rapid integrated planning (redevelopment and reconstruction). In Seongdong-gu, the areas around 382, Majang-dong, 293, Sageun-dong, and 212-1, Sageun-dong were included.
The designation period for the permission zones is from January 2, 2025, to January 28, 2026, for the area around 382, Majang-dong, and from January 4, 2025, to January 28, 2026, for the areas around 293 and 212-1, Sageun-dong.
After the designation of the land transaction permission zone, transactions within the zone are restricted during the mandatory period (within 5 years). To enter into contracts for transferring or establishing ownership or superficies rights on land exceeding certain areas by land use type (6㎡ for residential areas, 15㎡ for commercial areas, etc.)?only when transferred or established for consideration?prior approval from the district office is required before the contract.
If a land transaction contract is concluded without permission or permission is obtained by fraudulent means, imprisonment for up to 2 years or a fine of up to 30% of the individual publicly announced land price at the time of contract may be imposed.
After obtaining permission, the land must be used only for the designated purpose. If the usage obligation is not fulfilled as intended, a performance penalty equivalent to 10% of the land acquisition price will be imposed annually according to Article 18 of the Act on Reporting and Inspection of Real Estate Transactions.
For inquiries related to the designation of land transaction permission zones, detailed guidance can be obtained from the Land Management Division of Seongdong-gu Office.
Jeong Wono, Mayor of Seongdong-gu, said, “The re-designation of the land transaction permission zones aims to preemptively block speculative transactions and establish a sound land transaction order centered on actual demand, and we plan to continue active management.”
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
