Housing Regulation Balloon Effect... The Value of Jisik Industry Centers Challenges Seoul Apartment Prices

RSquare Analyzes Knowledge Industry Center Real Estate Data... Over 1,300 Nationwide

4 out of 10 Knowledge Industry Centers in Seoul Located in Geumcheon

[Asia Economy Reporter Kim Min-young] The value of knowledge industry centers is soaring to levels comparable to apartment prices. It is difficult to find office space in major business areas such as Gangnam and Pangyo, and due to the balloon effect caused by housing market regulations, investment demand is pouring into commercial real estate.

According to commercial real estate data company RSquare on the 15th, the knowledge industry center ‘Seoul Forest Pohyu’ in Seongsu-dong was sold last November at a price exceeding 30 million KRW per 3.3㎡. Considering that the price was less than 10 million KRW per 3.3㎡ when it opened in 2016, the price has nearly tripled in five years. Given that the average apartment sale price in Gangbuk-gu was 30.23 million KRW per 3.3㎡ as of last December, the value is approaching apartment prices.

The ‘Hyundai Knowledge Industry Center Gasan The Public,’ launched by Hyundai Construction in 2019, had a sale price of about 10.5 million KRW per 3.3㎡. However, recently a premium of over 1.5 million KRW has been added. An RSquare official said, "Due to relatively weaker loan regulations compared to housing, the prices of knowledge industry centers have recently surged sharply," adding, "Although there are concerns about oversupply in some areas, locations with good accessibility will maintain current price levels."

According to the same data, as of the end of January, there are a total of 1,309 knowledge industry centers nationwide. This figure includes those approved for permits and those under construction. By region, Seoul has 363, Gyeonggi 605, and Incheon 77, with about 80% of knowledge industry centers concentrated in the metropolitan area. The area with the most knowledge industry centers in the metropolitan area is Geumcheon, Seoul. Geumcheon-gu, where Gasan Digital Complex is located, has 133 knowledge industry centers, accounting for 36.3% of those in Seoul.

Following Geumcheon-gu, there are many knowledge industry centers in Siheung, Gyeonggi (107), and Seongdong, where Seongsu-dong is located (85). Other areas where knowledge industry centers are steadily being established include Bucheon, Gyeonggi (65), Hwaseong with Dongtan New Town (52), Guro (50), Seongnam (48), Anyang (43), Paju (35), Suwon (33), Gunpo (30), Ansan (29), and Yeongdeungpo (28).

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