Now Jamwon also 100 million KRW per 3.3㎡... 'Acro Riverview' 84㎡ sold for 3.5 billion KRW

Aerial view of Acro Riverview, Jamwon-dong, Seocho-gu, Seoul

[Asia Economy Reporter Lee Chun-hee] Despite the government’s continued high-intensity regulations on the real estate market, Gangnam housing prices are on the rise, with transactions reaching 100 million KRW per 3.3㎡ in Jamwon following Banpo. As the entire country is designated as a regulated area, there is a concern about a backlash effect where multi-homeowners prefer to hold onto a “smart single property” amid the illusion that Seoul’s regulations appear relatively weaker.

According to the Ministry of Land, Infrastructure and Transport’s Real Transaction Price Disclosure System on the 28th, an 84.79㎡ (exclusive area) unit in “Acro Riverview Shinbanpo” in Jamwon-dong, Seocho-gu, was traded for 3.45 billion KRW on the 23rd, setting a new record price. The supply area of this unit is 117.85㎡, which converts to 35.6 pyeong (3.3㎡). The transaction price nearly reached 100 million KRW per pyeong.

This 84㎡ unit first surpassed 3 billion KRW in December last year when it was traded for 3.05 billion KRW but had since remained flat. In June, the price even dropped to 2.8 billion KRW but then recovered to 3 billion KRW on the 5th of this month. In less than a month, the price surged by 450 million KRW.

This complex is a reconstruction of Shinbanpo 5th in Jamwon-dong, located close to the Han River Park entrance. It is highly regarded for its excellent educational environment, including Banwon Elementary, Sindong Elementary and Middle, Kyungwon Middle, Sehwa High, and Hyundai High schools. It is also conveniently located near Jamwon Station on Subway Line 3, Banpo Station on Line 7, the triple transfer terminal (Lines 3, 7, and 9), department stores, large outlets, Banpo Public Library, and Gangnam St. Mary’s Hospital.

At the time of its sale in October 2016, it recorded an exceptionally high subscription competition rate of 307 to 1. This was the highest ever for a Seoul sale complex until August this year when “DMC SK View I’Park Foret” in Eunpyeong-gu recorded an average competition rate of 340 to 1 amid the recent surge in subscription demand.

Acro River Park Apartment in Banpo-dong, Seocho-gu, Seoul (Photo by Lee Chunhee)

Since the 84㎡ unit in “Acro River Park” in nearby Banpo-dong was first traded for 3.4 billion KRW in October last year, becoming the first apartment to reach 100 million KRW per 3.3㎡ in Seoul’s Gangnam area, housing prices have continued to rise steadily. The same unit recently surged to 3.72 billion KRW on the 22nd.

The upward trend is spreading regardless of unit size. The smaller 59㎡ (25 pyeong) units surpassed 2.6 billion KRW last November, easily exceeding 100 million KRW per 3.3㎡, and on the 25th of last month, the larger 113㎡ (45 pyeong) units were traded for 4.5 billion KRW, also reaching 100 million KRW per 3.3㎡.

Additionally, an 84㎡ unit in “Raemian Prestige” in Banpo-dong was traded for 3.22 billion KRW last October, and “Raemian Daechi Palace” in Daechi-dong, Gangnam-gu, saw prices soar to 3.1 billion KRW last June. Major complexes in Gangnam are seeing transaction prices approach 100 million KRW per 3.3㎡, with prices rising sharply.

According to the Korea Real Estate Board on this day, as of the 21st, the weekly apartment price index increase rate in Seoul’s “Gangnam 4 districts” (Gangnam, Seocho, Songpa, Gangdong) was 0.09%, the highest since August. The rate has been steadily increasing from 0.04% on the 7th to 0.06% on the 14th.

A Korea Real Estate Board official analyzed, “As buying demand increases mainly in redevelopment project complexes and relatively mid-to-low priced complexes, apartment prices in Seoul are rising mainly in major complexes in the Gangnam 4 districts.”

This content was produced with the assistance of AI translation services.