[Top 10 Construction Companies Report] ① Last Year's Pre-Sales: 'GS Geonseol 20,000' 1st Place, 'Daewoo & Lotte Also 16,000' Supplied

Top 10 Construction Companies Supplied a Total of 95,395 Units Last Year

Accounting for Half of Nationwide Private Supply... Strong Performance Amid Concerns of Unsold Units

Sangam-dong Apartment. Photo by Jo Yongjun jun21@

Among the top 10 construction companies, GS Construction supplied the most housing units last year. It significantly outpaced other builders by selling over 20,000 units. Lotte Construction and Daewoo Construction each supplied more than 15,000 units. Large construction companies flooded the market with supply in the second half of the year as jeonse prices bottomed out. Although the total supply volume from all construction companies decreased significantly last year, the supply volume from major builders increased, raising expectations for improved performance.

On the 16th, Asia Economy surveyed housing supply performance (including cooperative member supply and general sales) by construction company and found that the top 10 construction companies supplied a total of 95,395 units last year. According to Real Estate R114, 201,230 private apartments were supplied last year. Nearly 50% of this volume came from the top 10 construction companies. The top 10 construction companies are the top 10 firms in the 2023 construction capacity evaluation set by the Ministry of Land, Infrastructure and Transport. They include Samsung C&T, Hyundai Engineering & Construction, Daewoo Construction, Hyundai Engineering, GS Construction, DL E&C, POSCO E&C, Lotte Construction, SK Ecoplant, and Hoban Construction.

Last Year’s Sales Performance: 'GS-Lotte-Daewoo' in Order... Lower in the First Half, Higher in the Second Half

By company, GS Construction supplied the largest volume, selling 22,098 units last year. The supply was mainly concentrated in Seoul and Gyeonggi Province. Starting with Yeongdeungpo Xi Dignity in February and ending with Cheonggye Riverview Xi in December, GS Construction’s supply increased more than twofold in the second half of the year. A GS Construction official stated, "While only 6,890 units were supplied in the first half, 15,118 units were sold in the second half."

Lotte Construction (16,503 units) followed. From June to December last year, 74% (12,144 units) of its total supply was released. It also showed a ‘lower in the first half, higher in the second half’ trend. Representative complexes included Siheung Lotte Castle Signature and Geomdan New Town Lotte Castle Nextiel.

Daewoo Construction sold 15,540 units. Of these, 25% (3,786 units) were part of urban redevelopment projects in Seoul and Busan. Urban redevelopment projects tend to proceed smoothly during real estate downturns. Since only general sales volumes excluding cooperative member supply need to be absorbed, the projects tend to have high profitability.

An industry insider said, "The more sales are made, the more positive the impact on revenue over the 3 to 4 years until completion, so sales performance is important." As of the third quarter last year, GS Construction earned 75% of its total revenue from the housing sector. Lotte Construction and Daewoo Construction also had high proportions, with 49.1% and 65% respectively, coming from housing.

Last year’s supply rankings continued with Hyundai Engineering & Construction (8,435 units), POSCO E&C (7,663 units), Hoban Construction (6,895 units), Hyundai Engineering (6,077 units), DL E&C (5,510 units), Samsung C&T (5,247 units), and SK Ecoplant (1,427 units).

[Image source=Yonhap News]

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