Shinsegae chairwoman maintains most expensive house in Korea

South Korean retail giant Shinsegae Group Chairwoman Lee Myung-hee has maintained the most expensive house for an eighth straight year in South Korea, although the country’s property price fell on rising interest rates and an economic slowdown, government data showed on Wednesday.

Lee’s 2,862-square-meter mansion located in Yongsan, central Seoul, was valued at 28 billion won ($21.6 million) for 2023, down 9.9% on-year, according to the Ministry of Land, Infrastructure and Transport’s assessment.

A construction-to-petrochemical conglomerate DL Group’s Chairman Lee Hae-wook held the second-most expensive house in Gangnam, Seoul’s upscale and modern center, as its value for 2023 was assessed at 18.2 billion won, 11.6% lower than this year.

The country’s top conglomerate Samsung Group’s reception hall Seungjiwon in Yongsan ranked No. 3 with a value of 16.8 billion won despite a 9% decline.

The ministry estimates prices for private residences, land and other forms of real estate to be used for a taxation basis every year. The official prices for houses and land nationwide for the next year fell nearly 6%, for the first time since 2009 when the global financial crisis hurt Asia’s fourth-largest economy.

TOP TOURIST SPOT HAS MOST EXPENSIVE LAND

Myeong-dong, South Korea’s most popular spot for foreign tourists, has the priciest plots of land, the ministry data showed.

Cosmetic maker Nature Republic has retained the most expensive land for 20 consecutive years with the site of a store in the area assessed at 174 million won per square meter for 2023 despite a 7.9% fall. The site’s official price for this year declined 8.5% as COVID-19 kept hurting tourism.

The official price of Woori Bank’s site in Myeong-dong followed that of the cosmetic store as its value was estimated at 172.7 million won. A plot of land around the area, which had been used by Japanese fashion retailer Uniqlo, was priced at 165.3 million won.

Myeong-dong and surrounding areas are most favorite spots in Seoul for foreigners before the COVID-19 outbreak.

In 2019, about 88% of foreign tourists visited the district, one of the primary shopping areas in the capital, according to the Seoul Metropolitan Government.

Write to Eun-Jung Kim at kej@hankyung.com
Jongwoo Cheon edited this article.