Commercial Office Building: Concentration in Seoul–Gyeonggi Deepens; Only 2 High-Value Deals

Nationwide Drop in Volume and Value: Commercial Office Building

In May, nationwide commercial-office building transactions totaled 1,137 deals, down 16.0% from April’s 1,353, while transaction value plunged 44.6%, from ₩3.7277 trillion to ₩2.0641 trillion. Compared to last May, volume fell 10.3% and value 15.2%, reaching levels below those of two years ago. Real estate data firm PlanetRE attributed this to a cooling recovery and growing investor caution.Commercial Office Building

Regional Decline and Polarization

Among 17 provinces, transaction counts fell in 12, with Sejong recording zero deals in May. Incheon deals dropped 45.5% to 36, and Seoul fell 31.6% to 156. Transaction value declined in 11 provinces, with Jeju (–65.7%) and Seoul (–63.7%) hardest hit. Conversely, Daegu, Gwangju, North Chungcheong, and Ulsan saw increases in both volume and value, marking rare regional growth. 꼬마 빌딩 매매

Transaction Distribution by Price Tier

Deals under ₩1 billion dominated at 63.5% (722 deals), followed by ₩1–5 billion at 28.8% (328). Transactions of ₩5–10 billion accounted for 5.5% (63), ₩10–30 billion 1.8% (21), and over ₩30 billion only 0.3% (3). Notably, ≥₩30 billion deals plunged 72.7% from 11 to 3, marking the steepest drop. All price tiers saw evenly distributed contraction.

Only Two Deals ≥₩100 Billion, Seoul–Gyeonggi Focused

In May, only two transactions exceeded ₩100 billion: Shilla Stay Mapo in Mapo-gu, Seoul (₩143 billion) and SD Biosensor Bundang Building in Bundang-gu, Seongnam (₩100 billion). Approximately 67% of total transaction value was concentrated in Seoul–Gyeonggi, highlighting selective investment in prime locations. CEO Min Jung-soo noted this as “a clear trend of targeted investing.” price sugar