Luxury apartments in Seoul's Apgujeong-dong have recovered above the 10 billion won threshold this month after temporary price corrections triggered by pre-tax rush sales. Shin Hyundai 11th complex (183㎡ unit) transacted at 10.5 billion won, rebounding 1.5 billion won from the April low of 9 billion won, while Shin Hyundai 12th (182㎡ unit) set a new record at 11.25 billion won. The price recovery occurred as the market absorbed distressed inventory sold ahead of the multi-home capital gains tax surcharge implementation. However, land transaction permit applications in Gangnam's three districts dropped by more than half compared to April as buyers and sellers adopted wait-and-see positions ahead of the tax reform plan announcement expected at the end of this month.
Apgujeong Hyundai Apartments Transact Above 10 Billion Won
Shin Hyundai 11th complex in Apgujeong-dong recorded a transaction of 10.5 billion won for a 183㎡ unit this month, marking a 1.5 billion won increase from the April low point of 9 billion won. Shin Hyundai 12th complex achieved a new record price of 11.25 billion won for a 182㎡ unit. The price recovery followed the absorption of distressed sales that flooded the market immediately before the multi-home capital gains tax surcharge implementation. Premium complexes including DH Firstier Ipark, Raemian One Valley, and Ricenz set new record prices last month, demonstrating continued price resilience in the ultra-luxury segment according to market analysis.
Gangnam Land Transaction Permits Drop Over 50% in April Comparison
Land transaction permit applications in Gangnam's three districts fell to less than half of April levels. The decline occurred as the tax reform plan announcement scheduled for the end of this month is expected to include strengthened taxation on ultra-luxury properties. Woori Bank Research Lab Director Ham Young-jin stated that prices are unlikely to fall significantly due to limited new construction supply and rising pre-sale prices, while noting that market trends will be redetermined based on the tax reform plan content.
Ministry of National Defense Releases 29.16 Million Square Meters of Military Protection Zones
The Ministry of National Defense announced on the 21st the release and relaxation of 29.16 million square meters of military facility protection zones, equivalent to ten times the area of Yeouido. Goyang City's Beobgot-dong, Daehwa-dong, and Janghang-dong areas totaling 770,000 square meters were released from restricted protection zones, facilitating self-sufficient functions and corporate attraction for Changneung District. Pyeongtaek City's Godeok International Planning District saw 1.33 million square meters around ammunition depots released, improving residential development conditions in Samsung Electronics' hinterland. The Susaek Airfield flight safety zone covering 19.82 million square meters in Seoul's Mapo-gu, Eunpyeong-gu, and Goyang City is scheduled for release in the second half of this year following enforcement decree amendments, expected to accelerate major development projects including the Susaek District 14 urban public housing complex project. The release and relaxation measures take effect after official gazette announcement on the 22nd.
FAQ
What price did Shin Hyundai 12th apartment achieve this month?
Shin Hyundai 12th complex (182㎡ unit) transacted at 11.25 billion won, setting a new record price for the complex.
How much did land transaction permits decrease in Gangnam's three districts?
Land transaction permit applications in Gangnam's three districts fell to less than half of April levels as market participants adopted wait-and-see positions ahead of the tax reform plan announcement expected at the end of this month.
When does the military protection zone release take effect?
The Ministry of National Defense's release and relaxation of 29.16 million square meters of military facility protection zones takes effect after official gazette announcement on the 22nd.
