Recently, following the three districts of Gangnam (Gangnam, Seocho, and Songpa), apartment complexes in the area of Mayongseong (Mapo, Yongsan, and Seongdong) have come to attention due to skyrocketing home prices this year, with movements appearing to change their complex names to include the regional name. While the name change is expected to increase the value of the apartments by incorporating core area names, there are concerns that indiscriminate changes could confuse actual residents.
According to the real estate industry on the 30th, the residents' representative meeting of 'Sinchon Forest I-Park,' which was completed in 2019 in the Shinsudong area of Mapo District, recently posted an announcement titled 'Apartment Name Change and Pre-Electronic Voting Notice' and has begun efforts to change the apartment's name.
The complex cited reasons for the name change as enhancing regional identity with a name that corresponds to the administrative district of Mapo, preventing omissions in real estate searches and declining preferences, and reflecting the asset value increases of Mapo's proximity to workplaces, the Han River, and other core locations.
'Mapo Grand Jeai,' located in Daehyeong-dong of the same district (moved in February 2020), also changed its name from 'Sinchon Grand Jeai' in 2023. According to the real transaction disclosure system of the Ministry of Land, Infrastructure and Transport, the price for the exclusive 84㎡ unit of Mapo Grand Jeai was 1.85 billion won at its peak in 2023, which has risen to 2.7 billion won this year.
'Ahyeon Raemiann Prugio' in Ahyeon-dong, Mapo District, has changed its name to 'Mapo Raemiann Prugio,' and 'Ahyeon I-Park' has also been renamed to 'Mapo Central I-Park,' including 'Mapo' in the complex names.
A similar trend is emerging in Seongdong District. The association for 'Cheonggye Riverview Jeai,' scheduled for completion in 2027, is pursuing a plan to include 'Seongdong' in the complex name instead of 'Cheonggye.' The association suggested 'Seongdong Jeai Riverview' as its top choice and 'Seongdong Riverview Jeai' as the second.
'Majang-dong Kumho Oullim' in Seongdong District changed its name to 'Wangsimni Kumho Oullim' last October. Its exclusive 84㎡ sale price rose by about 12 million won (from 1.225 billion won in October last year to 1.35 billion won in June this year) in just eight months. Analysts conclude that the name change had an impact considering that the overall apartment prices in Majang-dong did not experience significant fluctuations during the same period.
While some cases change complex names for accurate administrative district designation, there are instances where the opinions of association members hoping for a price increase lead to the forced inclusion of preferred regional names. A significant number of apartments in Sinjeong-dong and Sinwoldong of Yangcheon District included 'Mokdong' in their names, and apartments in Banghwa-dong of Gangseo District also added the expensive nearby name 'Magok' to their complex names. Apartments built around the Susaek Station area in Eunpyeong District included 'DMC (Digital Media City)' in their complex names.
Last year, the Koreat Land Trust, the project agent for the redevelopment project in the Heukseok 11 district of Dongjak District, promoted the new apartment name as 'Seobonpo Summit the Hill,' causing controversy. The name Seobonpo itself does not exist, and Heukseok-dong and Banpo-dong are about 1 km apart (based on the shortest distance) with Sadang-dong in between, leading to criticism that it was a 'trick' aimed at rising housing prices. Later, the association, construction company, and construction contractor all stated that the complex name has not been determined yet and clarified that it was a misunderstanding, bringing the controversy to a close.
The relatively simple process of changing apartment complex names is also cited as a reason for the increase in such attempts. By replacing nameplates, obtaining consent from 80% of all owners in writing, and undergoing gu office review, the name can be changed. However, if the name change could infringe on the rights or benefits of others, the application may be rejected.
In relation to this, the Seoul Metropolitan Government published a guidebook titled 'Guidelines for Writing New Apartment Names' last year, noting that 'there are cases where the names of apartments include names of nearby legal or administrative districts instead of the area where the apartment is located, which occurs due to the reality that the value or price of the apartment can vary based on legal and administrative district,' and recommended refraining from using names from different administrative or legal districts.