[Transaction Analysis] 25 Billion KRW Building Sale on Dogok-ro, Gangnam: The Value of a Main Road Corporate Headquarters with a 283 Percent Floor Area Ratio
The Essence of the Gangnam Main Road Location Premium and the 25 Billion KRW Actual Transaction
Table of Contents
Top Summary: Key Facts of the 787-13 Yeoksam-dong Actual Transaction
- Target Property: Uno Building on the 7-lane main road, 787-13 Yeoksam-dong (219 Dogok-ro), Gangnam-gu, Seoul
- Transaction Price: Sale completed on May 11, 2026, for 25 billion KRW
- Building Specs: Land 212.02 pyeong / Gross Floor Area 901.89 pyeong, Scale of B2 to 6F
- Core Secret: With a reasonable entry unit price in the 110 million KRW range per pyeong and an excess floor area ratio of 283.44 percent despite being a Type 3 General Residential Area, it is a property with outstanding value-up potential as a corporate headquarters or medical building.
Inflow: The Essence of the Gangnam Main Road Location Premium and the 25 Billion KRW Actual Transaction
In the Gangnam commercial real estate market, main road buildings are evaluated as scarce land assets beyond simple structures. It is a natural logic of the capital market that even buildings with the same gross floor area are priced much higher when located on a main road rather than a back road.
Recently, a building located on the 7-lane main road of Dogok-ro at 787-13 Yeoksam-dong, Gangnam-gu, garnered market attention as it was traded for 25 billion KRW. The reason this building, completed in 1994, found a new owner for the heavy sum of 25 billion KRW is not due to short-term rental yields. It is a core entry case that perfectly reflects the overwhelming visibility and foot traffic provided by the main road, as well as future development expectations.
Structured Actual Transaction Data: Building Specs Seen Through Numbers
| Analysis Item | Detailed Data | Value Evaluation |
|---|---|---|
| Land Price per Pyeong | 117.91 Million KRW | Reasonable cost for entry into the core axis of Dogok-ro |
| Floor Area Ratio and Building Coverage Ratio | 283.44 percent / 48.21 percent | Overwhelming area premium exceeding the legal limit |
| Road Conditions | 7-lane main road (40 to 50 meters wide) | Maximization of vehicle exposure and advertising effects |
| Parking Facilities | Total 27 spaces (including 22 mechanical) | Essential infrastructure for operating large hospitals and corporate headquarters |
| Ratio to Assessed Value | 2.16 times the official assessed value of 54.58 million KRW per pyeong | Reflects the land acquisition cost of the core Gangnam commercial district |
Exploration: 2 Core Competitiveness Factors That Concluded the 25 Billion KRW Sale
The high-net-worth individual who purchased this building went beyond the simple purpose of owning a building in Gangnam and bet on the hidden numbers and utility of this land.
First is the magic of the 283.44 percent floor area ratio hidden in the paperwork.
The site is a Type 3 General Residential Area, and the current legal upper limit for floor area ratio for new construction is 250 percent. However, this building, built in 1994, has already fully utilized a floor area ratio of 283.44 percent, securing a gross floor area of 901.89 pyeong. If the buyer demolishes this building and reconstructs it, they will rather lose area. Therefore, it is a perfect value-up rough stone that can permanently preserve the excess 33 percent floor area ratio (about 70 pyeong of free area) and vertically elevate its value through a full remodeling that saves the structural framework.
Second is the utility optimized for corporate headquarters and medical centers.
A highly recognized axis in Gangnam like Dogok-ro is very advantageous in advertising exposure and industry diversity. The wide-open visibility of the 7-lane main road is flawless for use as an antenna shop or a large exhibition hall. Furthermore, based on the generous parking capacity of 27 spaces, if the rental structure is reorganized into a core corporate headquarters or a large medical building targeting Gangnam VIPs, it can be transformed into a landmark that leaps several levels beyond its current building value.
Action: Conclusion Break Away from the Illusion of Yield and Look at Land Scarcity
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