Apartment prices in the Yongsan area of Seoul are showing a sharp upward trend. In the Dongbu Ichon-dong area, where reconstruction and remodeling projects are actively underway, 'records' of transactions are occurring one after another.
According to the brokerage industry on the 31st, a 203㎡ (76 pyeong) unit at the Han River Xi in Ichon-dong was transferred for 6.4 billion won (21st floor) on the 13th, setting a record high. The previous highest price for the same size was the 5.85 billion won transaction in March. This indicates an increase of 550 million won in nine months.
The adjacent complex, the Ichon Han River Mansion, saw prices surpass 10 million won per 3.3㎡ during the real estate boom in 2021 while pushing ahead with its reconstruction project. Recently, it is trading for over 13 million won per 3.3㎡. In October, a 101㎡ (3rd floor) unit was transacted for 4.15 billion won. The larger 167㎡ unit was transferred for 6.45 billion won (3rd floor) in the same month.
The Han River Mansion, which was completed in 1971, consists of 66 units. With a floor area ratio of only 155%, it has been assessed as a highly profitable apartment for reconstruction. GS Engineering and Construction was selected as the construction company for the Han River Mansion's reconstruction project in 2022. The apartment is pushing for a 68-floor high-rise reconstruction but decided to apply a maximum of 59 floors following prior consultations with the Seoul city authorities.
Another high-end apartment recognized in Yongsan, the 'Hannam The Hill' in Hannam-dong, has also recorded multiple high prices this year. In September, a 204㎡ unit was transacted at 12 billion won, setting a record high. Additionally, a 208㎡ unit was sold for 9.6 billion won in August.
Another high-end apartment in Hannam-dong, 'Park Hannam,' saw a 268㎡ unit transferred for 18 billion won in August. This marks a significant increase of 4.5 billion won from the previous record of 13.5 billion won set in April 2022.
Ham Young-jin, head of the real estate research lab at Woori Bank, noted, 'Yongsan is rich in development opportunities, including the reconstruction of Ichon-dong, the development of the Hannam New Town, and the Yongsan railway depot site.' He added, 'Although the educational environment, including the academy district, is somewhat lacking, it is expected to lead as a representative affluent area of Seoul along with Gangnam's Apgujeong and Seocho's Banpo and Jamwon in the future.'