"Jeong Yu-kyung Is a Neighbor"...Itaewon Standalone House with Record 23.2 Billion Won Appraisal Up for Auction [Real Estate AtoZ]

Land Area of 370 Pyeong
Initial Appraised Value: 23.2 Billion Won
Approximately 62 Million Won per Pyeong

A standalone house with a land area of 370 pyeong, located in the affluent neighborhood of Itaewon in Seoul, has been put up for auction with an appraised value in the 23 billion won range. This is the highest appraised value ever recorded for a standalone house in the history of auctions in Korea, drawing attention to whether it will be successfully bid upon.

According to GGI Auction, a public auction company, on May 26, the Seoul Western District Court will hold an auction for a standalone house in Itaewon-dong, Yongsan-gu, with a land area of 370 pyeong (1,223.6 square meters) and a total floor area of 460.6 square meters.

A standalone house with a land area of 370 pyeong in Itaewon-dong, Yongsan-gu, scheduled for auction at the Western District Court on the 26th. Naver Real Estate

The appraised value is 23,288,690,000 won. This surpasses the previous record set by a standalone house in Sinsa-dong, Gangnam-gu, which was auctioned in 2012 with an appraised value of 22,856,040,000 won. The Sinsa-dong property was acquired by Simone, an ODM company manufacturing handbags for global fashion brands such as Burberry and Tory Burch, for 28,709,140,000 won, which was 125.61% of its appraised value.

Additionally, a standalone house in Seogyo-dong, Mapo-gu, formerly owned by the late Lee Jae-woo, chairman of Daelim Trading, was put up for auction with an appraised value of 19,357,560,000 won at the time. Although the minimum price was reduced to 15,486,040,000 won, which is 80% of the initial appraised value, after one failed auction, the auction was eventually withdrawn.

The standalone house currently up for auction is a property shared by seven owners and has come to auction following a partition lawsuit. A partition lawsuit is a civil suit filed when co-owners of real estate are unable to reach an agreement on dividing the property according to their respective shares. The court typically orders either a division of proceeds or a division by auction.

In the market, there are forecasts that the property will soon find a new owner, considering its location in a cluster of high-value standalone houses in Hannam-dong and prevailing market prices. The property is just a seven-minute walk from Itaewon-ro 55-ra-gil, where residences of domestic business conglomerate leaders such as Jeong Yu-kyung, chairperson of Shinsegae Co., Ltd., are located. The area is also a wealthy district home to several embassies, including the Belgian ambassador’s residence. Recently, a standalone house with a land area of 1,104 square meters owned by Jeong Yong-jin, chairman of Shinsegae Group, was reportedly sold to Booyoung Housing for 25,550,000,000 won. Another standalone house in the same district as the auction property, with a land area of 1,104 square meters (333 pyeong), was sold for 32,000,000,000 won in May last year.

Kang Eun-hyun, head of the auction research center at Myungdo Law Firm, stated, "The large land area results in a high appraised value, but the price per pyeong (3.3 square meters) is about 62.83 million won," adding, "Given the location and prevailing market prices, it is not excessively priced, so it is likely to be sold after a few failed auctions."

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