Commercial and office building transactions last month decreased from the previous month. Both transaction volume and transaction value fell by more than 10%.
Commercial real estate platform corporations RealtyPlanet on the 2nd released an analysis of the nationwide commercial and office building sales transaction market for February, containing these details.
In February, nationwide commercial and office building sales transaction volume totaled 939 cases, and transaction value was 2.5386 trillion won, down 10.9% and 13.3%, respectively, from January (1,054 cases·2.9294 trillion won). Compared with the same month a year earlier (1,018 cases·2.6496 trillion won), transaction volume fell 7.8% and transaction value declined 4.2%.
Looking at sales transaction status by the 17 provinces and metropolitan cities nationwide, 12 saw transaction volume decrease from the previous month. Gwangju fell from 33 cases to 18, down 45.5%, the largest drop. Ulsan (11 cases·-42.1%), North Chungcheong (40 cases·-34.4%), Daegu (28 cases·-26.3%), and North Jeolla (49 cases·-22.2%) followed. In contrast, four regions saw transaction volume rise from the previous month: Daejeon (30 cases·25.0%), North Gyeongsang (79 cases·9.7%), South Gyeongsang (69 cases·3.0%), and Seoul (164 cases·1.2%). Sejong (1 case) was unchanged from the previous month.
By transaction value, nine provinces and metropolitan cities showed declines from the previous month. Daegu decreased 75.0%, from 128.8 billion won to 32.2 billion won, the biggest drop. It was followed by Gwangju (15.6 billion won·-54.0%), South Chungcheong (33.8 billion won·-41.5%), Ulsan (13.7 billion won·-30.8%), and North Chungcheong (34.7 billion won·-30.6%). By contrast, Sejong increased from 100 million won to 1.6 billion won, recording a 1,500.0% rise, while Incheon (99.4 billion won·114.7%), South Gyeongsang (57.6 billion won·44.4%), North Jeolla (32.0 billion won·18.1%), and Daejeon (32.3 billion won·12.5%) also increased.
Among buildings transacted in February, the top 10 by single transaction value were all assets located in Seoul. Of these, five—half of the list—were buildings within "iKorea" in Jangji-dong, Songpa District, ranking No. 1 (153.1 billion won), No. 3 (122.7 billion won), No. 5 (88.6 billion won), No. 9 (37.6 billion won), and No. 10 (36.5 billion won). On that parcel, eight buildings were each transacted, totaling 500.1 billion won in transactions.
In addition, No. 2 by single transaction value was "Shilla Stay Seodaemun" in Migeun-dong, Seodaemun District (146.0 billion won), and No. 4 was "Hyundai Card Building 3" in Yeouido-dong, Yeongdeungpo District (88.9 billion won), it was found.
Jeong Su-min, CEO of RealtyPlanet, said, "The nationwide commercial and office building sales market in February was generally subdued as the rise in lending rates and the burden of financing continued," and added, "In particular, with all transactions of 30 billion won or more concentrated in Seoul, polarization by region and price range is emerging, and selective investment driven by macroeconomic variables is likely to continue for the time being."