The Power of Seongsu, the 'Emerging Wealthy Village'... Even New Constructions Surpass 1 Billion Won per National Average

In non-Gangnam areas, a transaction has emerged where new apartment constructions have surpassed 1 billion won per 3.3㎡ for the national average size (84㎡). As the designation of land transaction permission zones reduces the number of properties in Gangnam, demand is shifting to areas north of the Han River.

According to the Ministry of Land, Infrastructure and Transport's real transaction disclosure system on the 27th, an 84㎡ exclusive area of 'Seoul Forest I-Park River Fore' in Seongdong-gu, Seongsu-dong, Seoul was traded for 3.49 billion won on the 19th. This complex, considered a success story of a local housing cooperative, joined the 1 billion won per 3.3㎡ club when a 59㎡ was sold for 2.5 billion won on March 23rd, and now, within two months, even the national average has surpassed 1 billion won per 3.3㎡.

It is unusual for a newly constructed building (occupancy started in February) in a non-Gangnam area to surpass '1 billion won per pyeong'. In Seongsu, the so-called 'Seoul Forest Big Three' - Galleria Foret (occupied in 2011), Trimage (occupied in 2017), and Acro Seoul Forest (occupied in 2020) - have long surpassed 1 billion won per 3.3㎡ and continue to set new record prices, but this place attracts attention for starting at 1 billion won from the beginning of occupancy.

Galleria Foret reached 1 billion won per 3.3㎡ about 10 years after occupancy, while Trimage and Acro Seoul Forest reached it 2-3 years after occupancy. Although the overall rise in apartment prices in the core areas of Seoul has an impact, it is interpreted that the expectation of development at a level of transformation, such as the Seongsu Strategic Maintenance Zone, and the perception of being an 'emerging wealthy village' have had a significant impact.

In this trend, the industry predicts that Seongsu-dong will become a residential core area surpassing other Han River-side areas such as Jamsil-dong in Songpa-gu or Heukseok-dong in Dongjak-gu. In particular, it is expected that Seongsu Jangmi, Seongsu Dong-a, and Seoul Forest Hanjin Town, which are currently undergoing redevelopment projects, will also form high prices. Recently, in Jamsil-dong, a Resenz national average was traded for 3.3 billion won (March 12), and in Heukseok-dong, an Acro Riverheim national average was traded for 3.12 billion won (April 26).

Nam Hyuk-woo, a real estate researcher at Woori Bank's WM Business Strategy Department, said, "Due to the pull-forward effect of demand before the implementation of the third stage of the DSR (Debt Service Ratio) in July, the upward trend in non-Gangnam areas is expected to continue for the time being."




ming@fnnews.com Jeon Min-gyeong Reporter