Sales and lease prices in the Seoul housing market have continued to rise for a long time. The upwar.. - MK

In Seoul, the housing market has been experiencing a prolonged increase in both sales and rental prices. This upward trend has notably extended to the residential officetel segment, which is increasingly seen as an alternative housing option. The sale prices of mid-sized officetels in Seoul have risen for 17 consecutive months, and last month marked the highest monthly increase in rental prices since the Korea Real Estate Agency began tracking these statistics.

According to a report released by the Korea Real Estate Agency on the 27th, the sale prices for mid-sized officetels—those with an exclusive area ranging from 60 to 85 square meters—have risen continuously since May of last year, accumulating a total growth of 3.17% over this period. Additionally, larger officetels, defined as those exceeding 85 square meters, have also seen price increases for 18 consecutive months.

The growth in monthly rents has been even more pronounced. The "3rd Quarter 2026 Officetel Price Trend Survey," published by the Korea Real Estate Agency on the 15th, revealed a 0.37% increase in rental prices for officetels in Seoul last month compared to the previous month. This figure represents the most significant monthly rise since 2018, when the agency began compiling related statistics.

Several factors contribute to this rise in prices, including an influx of alternative housing demand and a decrease in new supply, driven by the high costs associated with purchasing apartments. The Korea Real Estate Agency noted that home sales prices in Seoul have risen for 30 consecutive months since April 2024, while rental prices for housing have also increased for 20 consecutive months from February of last year until last month.

As demand shifts towards medium and large-sized officetels, which offer living spaces similar to apartments, the supply of new officetels has also diminished, underscoring the scarcity in this market. An official from the pre-sale industry commented, "As apartment sales prices and jeonse prices rise together, there is a growing interest in officetels, which present a lower entry barrier as an alternative."

In response to this demand, new officetel developments are still being launched. POSCO E&C is set to introduce "The Shop First World Seoul" officetel next month, located at the site of the former Sangbong Terminal in Jungnang-gu, Seoul. This complex will feature 8 basement levels and 49 floors above ground, comprising a total of 308 units, each with an area of 84 square meters. In conjunction with 999 apartments that have already been sold, the total number of units expected to be constructed will reach 1,307.

Meanwhile, BYC is in the process of selling the "GD Metro Tower" located in Daelim 2-dong, Yeongdeungpo-gu, Seoul. This building will consist of 7 underground levels and 40 floors above ground, with a total of 1,095 residential officetels. The initial offering will include 770 units from Building B.

Additionally, Daewoo E&C is preparing to supply the "Cheongna Akwon Prugio" project in the M5 block of Cheongna International City, Seo-gu, Incheon. This large-scale complex will feature a total of 1,855 households, including 987 residential officetels, and will have 5 basement floors and 49 floors above ground.