Seodaemun Station Area, Opposite Gyeonghuigung Xi, 1.2 Billion KRW Small Building Investment Case Study... 'Expected' Benefits from Bukahyeon New Town Redevelopment
Today, we will introduce an investment case study of a small building located in Naengcheon-dong, Seodaemun-gu, Seoul, in the Seodaemun Station area. Boasting an excellent location opposite the Gyeonghuigung Xi Apartment complex and near Gangbuk Samsung Hospital, this property also holds promise for future value appreciation due to the Bukahyeon New Town redevelopment benefits. Don't miss this opportunity to secure a prime piece of real estate in a double subway station area with an investment in the 1 billion KRW range.
The subject of today's investment case study is a small building located at 177 Naengcheon-dong, Seodaemun-gu, Seoul, which was sold for 1.285 billion KRW (approximately 47.57 million KRW per pyung) in January 2025. While the administrative district name Naengcheon-dong might sound unfamiliar, it is easily understood as the area located opposite the Gyeonghuigung Xi Apartment complex and near Gangbuk Samsung Hospital.
Double Subway Station Area with Seodaemun Station (Line 5) and Dongnimmun Station (Line 3)... Excellent Transportation Convenience
This small building is situated in a double subway station area, accessible to both Seodaemun Station (Line 5) and Dongnimmun Station (Line 3), offering excellent transportation convenience to anywhere in downtown Seoul. Particularly among small buildings in the 1 billion KRW range, this property boasts a superior transportation location, making it ideal for expecting stable rental demand.
Why is the Investment Value High Despite a Low Rental Yield? Abundant Redevelopment Opportunities and Future Value
Although the rental yield of this building is a somewhat modest 2.22%, its investment value is considered high due to the abundant redevelopment opportunities in the surrounding area. With significant redevelopment projects underway or planned, such as the Bukahyeon 3rd District Redevelopment and the Naengcheon Market Redevelopment, the real estate value in this area is expected to increase considerably in the future. It is an investment property with outstanding future potential rather than just current returns.
High Concentration of Government Offices, University Areas, and Hospital Facilities... Securing Stable Surrounding Demand
Furthermore, the area around the building is home to various government offices including the Seodaemun Police Station, the National Police Agency, the Tax Office, Gangbuk Samsung Hospital, the Seoul Metropolitan Office of Education, and the Red Cross Hospital, ensuring a stable base of demand. Additionally, universities such as Kyonggi University Seoul Campus and Methodist Theological University, as well as high schools like Ewha Girls' High School and Ewha Foreign Language High School, are located nearby, promising demand from students and faculty as well. With a rich existing residential population and an anticipated increase in residents due to new apartment complexes and housing redevelopment, this is a promising investment area for those looking to capitalize on future value appreciation.
Food District on a 6m Road, Sold at an Attractive Price per Pyung Compared to Nearby Sales
Located on a 6m wide road in a food district (먹자상권) with significant pedestrian traffic and a thriving commercial environment, especially after work hours for office workers from nearby government offices and large corporations, this building offers excellent exposure. Moreover, comparing its sale price per pyung of 47.57 million KRW to a nearby sale at 56.83 million KRW per pyung reveals that this property was acquired at a relatively low price.
Bukahyeon New Town, Donuimun Redevelopment Promotion Zone Development Benefits... Focus on Future Investment Value
With various development benefits including the Bukahyeon New Town, Donuimun Redevelopment Promotion Zone, and the Naengcheon Market Redevelopment, this affordable small building in an area with potential for future investment serves as a valuable case study for small building investors and those aspiring to become building owners with a smaller budget.
Easy to Manage with a Single Tenant, Low Vacancy Risk for a 1 Billion KRW Seodaemun Food District Small Building
While the rental yield is somewhat low, this 1 billion KRW small building offers an advantage in terms of tenant management, which is often a challenge for first-time building owners, due to having a single tenant. Additionally, being a first-floor commercial property, it carries a lower risk of vacancy compared to small buildings with multiple tenants.
Conclusion: Seodaemun Station Area Small Building Investment, Capturing Both Future Value Appreciation and Stable Management
This investment case study of a small building in the Seodaemun Station area demonstrates an attractive opportunity for investors focused on future growth and development potential in a well-located area with good transportation links and amenities, while also offering ease of management with a single tenant.
