Land Purchased in 2018 Now Valued at 65.7 Billion Won
Five Years of Rental Operation, Followed by Demolition and New Construction
Prime Location Directly Adjacent to Subway Station
The value of a plot of land in Nonhyeon-dong, Gangnam-gu, Seoul, purchased seven years ago by Hyun Woojin (38), a well-known instructor for the College Scholastic Ability Test, is now estimated to have surpassed 65 billion won, according to recent analysis.
On November 23, Building Road Real Estate Brokerage Firm stated, "The current estimated value of the quasi-residential land in Nonhyeon-dong, purchased by Mr. Hyun in his personal name in January 2018, is about 65.7 billion won." The land covers approximately 1,034 square meters (313 pyeong), and the purchase price at the time was about 32 billion won.
Immediately after the purchase, Mr. Hyun reportedly completed a trust registration using a real estate trust. This trust method is frequently used in large-scale urban redevelopment projects because it allows for higher loan limits during the development process. Currently, the registered owner on the title is Hana Bank, acting as the trustee.
For about five years, the site was operated as a franchise cafe and office rental, maintaining stable rental income thanks to steady demand in the commercial district. At the end of 2023, demolition of the existing building began. Since September this year, full-scale new construction has commenced, accelerating the pace of development.
The area has seen a significant increase in value due to its prime location on Gangnam Boulevard, proximity to a major subway station, and ongoing redevelopment. It is situated directly in front of Exit 9 of Hakdong Station on Subway Line 7, an area known for high pedestrian traffic. The surroundings are densely populated with commercial facilities such as cafes and restaurants, as well as offices, making it a location with sustained rental income potential.
In April this year, a similarly located plot on a main road near a subway station was traded at about 2.1 billion won per pyeong, confirming the upward price trend. Applying this price to the total area owned by Mr. Hyun, the current value is calculated at around 65.7 billion won. This means that, in simple terms, he has realized an appraisal gain of approximately 33.7 billion won in about seven years and six months.
A representative from Building Road Real Estate commented, "This is a textbook example of high-value urban development, involving land acquisition, financing through a trust, rental operation, demolition, and new construction. Thanks to the rare prime location right next to Hakdong Station, the asset value is likely to increase even further after the new building is completed."
After graduating from Stanford University with a degree in mathematics, Mr. Hyun entered the Daechi-dong private education district in Gangnam-gu, Seoul, in 2010 and is now recognized as a top instructor for mathematics in the College Scholastic Ability Test. As of last year, he recorded the highest number of online students across both liberal arts and science tracks, and his annual income is estimated to exceed tens of billions of won.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
