"No Big Thoughts" vs "There Will Be Regulations"... Temperature Difference in Yongsan

Yoon's 'Hannam-dong Residence' News Met with Lukewarm Resident Reactions
Some Optimism for Benefits but Concerns over Traffic Congestion
'Redevelopment Plans' Leave Hangangno-dong Residents Still Confused

On the afternoon of the 22nd, I visited a luxury villa complex in Hannam-dong. The real estate agents here said, "The homeowners have shown little reaction to the news of President-elect Yoon Seok-yeol's 'Hannam-dong residence'." Photo by Hwang Seoyul

[Asia Economy Reporter Hwang Seoyul] Not only residents near the Ministry of National Defense building in Yongsan, Seoul, where the next presidential office will be located, but also residents of Hannam-dong, where the presidential residence will be utilized, are highly interested in how this issue will affect housing prices and the living environment.

The Army Chief of Staff’s residence in Hannam-dong, which President-elect Yoon Seok-yeol has decided to use as his residence after inauguration, backs onto Maebongsan Mountain. Across the street are Nine One Hannam Apartments, and beyond the mountain are Hannam The Hill Apartments and UN Village. This area is known as the ‘Hannam-dong Official Residence Village,’ densely populated with residences of the National Assembly Speaker, Supreme Court Chief Justice, and foreign embassies. On the afternoon of the 22nd, I visited a villa complex about 700 meters from the Army Chief of Staff’s residence. Residents met on site were well aware of the news about the presidential residence being established nearby but responded, “It’s unexpected, but we don’t really mind.” They believe that although various regulations and restrictions may arise once the presidential residence is established, since there are no redevelopment issues in the area, it will not significantly affect housing prices.

Real estate agents in the area also reported that “most residents respond that it is something they can tolerate.” Agent A said, “There are occasional cases of withdrawing listings after hearing the news, but it’s more due to expectations of tax relief policies announced by the new government rather than because of the residence.” President-elect Yoon pledged during his candidacy to integrate comprehensive real estate tax and property tax and to temporarily exclude the application of increased capital gains tax rates for multi-homeowners, and it was this expectation that led to the withdrawal of listings.

On the same afternoon, Hannam Five-way Intersection and Hannam 2 Overpass in Hannam-dong, Yongsan-gu, Seoul. According to an official, this area is very congested due to traffic jams during commuting hours.
Photo by Hwang Seoyul

There is also some expectation that the presidential residence might act as a positive factor in some way. Agent B said, “Although it is centrally located in Seoul, Yongsan has been underdeveloped. The Yongsan International Business District plan was scrapped, but we hope it will be developed this time.” This is interpreted not as an issue specific to the residence location but as an expectation for the broader ‘Yongsan development,’ including the presidential office.

However, there were considerable concerns about traffic congestion worsening as the president would commute between the residence and the office. Agent C, the representative of a real estate agency, said, “The Hannam-dong overpass already experiences severe traffic jams during rush hours, so it is certain to become more congested, which is worrisome.”

Compared to the relatively calm public sentiment around the Hannam-dong residence site, a chaotic atmosphere is still sensed around Samgakji Station and the Hangangno-dong area, where the presidential office will be located. Despite President-elect Yoon’s statement that “there will be no additional regulations” in this redevelopment-planned area, anxiety does not seem to have been completely alleviated. Agent D from Hangangno-dong said, “I think it’s like covering one’s eyes and pretending not to see. Once the office is established, who knows what regulations might be introduced one by one.” He also reported that “two buyers gave up on contracts after the office relocation was mentioned.” It was said that they abandoned purchases due to increased uncertainty about returns.

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