In the second quarter of this year (April to June), the nationwide commercial and office building market showed an increase in both transaction volume and transaction amount compared to the previous quarter.
On the 4th, the commercial real estate corporation RealtyPlanet announced the results of its analysis of the nationwide commercial and office building transaction market in the second quarter, based on data from the Ministry of Land, Infrastructure and Transport.
According to the report, the total number of commercial and office building transactions in the second quarter this year was 3,608, which is an increase of 16.3% compared to the first quarter (3,103 transactions). The transaction amount also rose by 43% from 7.09 trillion won to 10.1372 trillion won during the same period.
Looking at the monthly transaction volume in the second quarter, there were 1,353 transactions in April, 1,133 in May, and 1,122 in June, which showed a decline as the quarter progressed. In contrast, the transaction amount recorded 4.2694 trillion won in June, marking the highest level this year.
Examining the transaction volume by region, Gyeonggi Province accounted for the largest share at 791 transactions, making up 21.9% of the total. Following were Seoul (569 transactions, 15.8%), North Gyeongsang (270 transactions, 7.5%), South Gyeongsang (251 transactions, 7.0%), and Busan and North Jeolla (each with 209 transactions, 5.8%).
The most frequently traded buildings in the second quarter fell into the price range of under 1 billion won (2,275 transactions, 63.1%), which were small-sized buildings. Compared to the previous quarter, the number of transactions for buildings priced between 5 billion and 10 billion won rose by 46.2%, while those priced between 10 billion and 30 billion won increased by 26.3%, buildings priced between 1 billion and 5 billion won went up by 20.1%, under 1 billion won saw an increase of 12.5%, and more than 300 billion won increased by 7.7%.
The highest-priced commercial and office building transaction was at the Seoul International Tower (SI Tower) in Yeoksam-dong, Gangnam-gu, Seoul, which was sold last June for 897.1 billion won. Other buildings that had substantial transaction amounts include the Crescendo Building in Jongno-gu, Seoul, sold for 559.7 billion won, and Susong Square for 522.5 billion won in April.
Jung Su-min, CEO of RealtyPlanet, noted, "The nationwide commercial and office building market in the second quarter saw large building transactions centered around the Seoul and Gyeonggi regions, recovering the transaction amount to the 10 trillion won level, while the transaction volume also recorded an increase compared to the previous quarter."