Kang Ho-dong's Actual Profit from Garosugil Building Sale Nearly Zero
After Capital Gains Tax, Loan Interest, and Other Costs
Broadcaster Kang Ho-dong's buyer of the Garosugil building in Sinsa-dong, Gangnam-gu, Seoul, which he sold last year for 16.6 billion won, has been revealed as an unexpected figure.
On the 6th, Chosun Ilbo and News1 reported, citing court registry documents, that on November 20 last year, the corporation "The Mu Co., Ltd." purchased the building owned by Kang Ho-dong for 16.6 billion won.
The Mu recently completed the final payment and finished the ownership transfer registration, and on the same day the bank trust registration was also completed.
The building, completed in 1992, is a basement one floor to five floors above ground. The land area is 253.95㎡ (approximately 58 pyeong), and the building area is 593.17㎡ (approximately 179 pyeong). It is located about a 10-minute walk from Sinsa Station on Subway Line 3 and the Shinbundang Line, offering excellent accessibility.
The Mu, which purchased the building, attracted attention as MC Mong was listed as an inside director of the company. However, MC Mong's agency One Hundred cautioned against overinterpretation, stating, "The building was purchased by 'The Mu Co., Ltd.', and MC Mong only has his name listed as an inside director of the corporation."
Previously, in June 2018, Kang Ho-dong bought this building for 14.1 billion won with a 7 billion won loan. At that time, Garosugil was experiencing a surge in foot traffic and various stores were opening, causing real estate prices to rise.
Considering the sale price, a capital gain of 2.5 billion won is expected. However, taking into account capital gains tax, acquisition and registration taxes, and loan interest, the actual profit is estimated to be almost none.
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