A gym turned into an abandoned house due to bankruptcy... Sold to young people at a 500 million loss, 'Senior Housing' [Senior House]

Senior Welfare Housing Differs from Regular Housing
Post-Construction Management Is Crucial
Restaurants and Gyms Left in Ruins
Focus on Elderly Meals, Health, and Leisure Management in Housing Policy
Stable Operation More Urgently Needed Than Supply

A community facility in a luxury senior welfare housing complex located in Bundang-gu, Seongnam-si, Gyeonggi-do has now become a ruin. Photo by a resident

In 2009, a luxury senior welfare housing complex was established in Bundang-gu, Seongnam-si, Gyeonggi-do. It was a time when the government was allowing the sale of senior welfare housing, promising to "increase silver towns." Each unit (with a net area of 165㎡) cost a staggering 1.6 billion KRW. This was an exceptionally high price at the time. All interior materials were imported from Germany and Italy. The ceiling height was set much higher than in regular houses. Nearby, a famous hospital and an expensive nursing home were also established.

The fame did not last even ten years. In 2017, when the foundation chairman went bankrupt, everything about this housing changed. Ownership of the community building used by the elderly was transferred to an unrelated business operator. As the current owner completely withdrew from management, the community facilities?which included a swimming pool, gym, golf course, cinema, library, and restaurant?became complete ruins. The elderly, who had sold their homes to move in and expected promised services, were left in despair as they could not use any of them.

The elderly residents, struck by this sudden misfortune, sold their homes to younger people at prices lower than when they moved in. It was common for each household to suffer losses of 400 to 500 million KRW. Currently, this place is only nominally senior welfare housing but is essentially no different from regular housing where anyone can live.

Residents are taking a walk at a senior welfare housing in Gyeonggi-do. Photo by Jinhyung Kang aymsdream@

A resident who bought a house from an elderly person living here four years ago said, "Because of rumors that the community facilities inside the complex are like 'abandoned houses,' prices here have dropped unlike other apartments in Bundang, causing suffering for residents." He added, "At first, only elderly people lived here, but now even younger people live here, and the operator has changed. Even government officials play ping-pong, saying 'This is senior housing' or 'No, it’s regular housing,' avoiding responsibility by claiming it’s not their jurisdiction," expressing frustration that "no one has been able to solve the problem of the community facilities that have become eyesores."

Building senior welfare housing is not the end. What happens after construction is much more important. The reason elderly people sell their homes and land to prepare deposits worth hundreds of millions of won and pay monthly rent to move in here is to receive appropriate care services. Lee Ji-hee, an adjunct professor in the Department of Social Welfare at Suwon Women’s University, said, "Senior welfare housing is not just about providing living space; it must also manage residents’ meals, health, and leisure activities, which is the biggest difference from regular housing," adding, "Focusing on responsible service operation is essential for senior housing policies to be properly established."