Commercial Market Also Favors ‘Brand’... Spotlight on ‘Hills Avenue Gamsam Central’

New Brand Commercial Facility Sold Out Quickly... High Awareness and Trust Attract Strong Demand
'Hills Avenue Gamsam Central' Located in the Heart of West Daegu, Rare Brand Store

The influence of brands is now intensifying in commercial facilities as well. The excellent product quality of branded goods, which attracted attention in residential facilities such as apartments and officetels, is newly applied to commercial facilities. Moreover, since the residential demand within the same complex serves as the underlying demand for commercial facilities, relatively stable investment is possible.

In addition, based on long-accumulated experience, securing excellent locations within the region allows for the expectation of relatively abundant underlying demand. In particular, branded commercial facilities are often sold together with residential facilities or developed within previously sold complexes, making the abundant residential demand a significant advantage.

A representative example is ‘Hills Avenue,’ a commercial facility brand introduced by Hyundai Engineering. ‘Hills Avenue Yeouido,’ sold in Yeongdeungpo-gu, Seoul, in June last year, was completely sold out within one day of the contract start. This commercial facility, located within the ‘Hillstate Yeouido Pine Luce’ complex sold earlier, is situated between the business district and residential town, making it easy to secure underlying demand and foot traffic. Additionally, the rarity value of branded commercial facilities in this area attracted high interest.

‘Hills Avenue’ commercial facilities are also being sold in Daegu. ‘Hills Avenue Gamsam Central,’ currently on sale in Dalseo-gu, Daegu Metropolitan City, is a commercial facility located on the 1st and 2nd floors within the residential complex Hillstate Gamsam Central, which consists of three buildings ranging from five basement floors to a maximum of 45 floors above ground. The first floor has 37 units, and the second floor has 49 units, totaling 86 units.

Hills Avenue Gamsam Central boasts the highly rare ‘Hillstate’ brand power in the Daegu area and is currently selling successfully. Following the complete sale of all officetel units within three days of contract signing, the apartment recorded a maximum competition rate of 60.17 to 1 (exclusive area 84㎡ A type) and an average first-priority competition rate of 15.67 to 1, verifying its location and product quality.

The Hills Avenue Gamsam Central commercial facility is located in a prime spot within the Jukjeon Intersection commercial district, the central commercial area of West Daegu. It also benefits from the underlying demand of 512 households in the complex, including 393 apartments and 119 officetel units, as well as the large-scale residential demand of the Jukjeon Intersection area. Additionally, large-scale commercial districts are planned to be formed alongside nearby mixed-use residential complexes under development, and the proximity to Jukjeon Station’s transit area is expected to support underlying demand based on transportation convenience.

Industry experts analyze that due to recent stringent regulations on apartments, many investors are turning to income-generating real estate. Demanders who have experienced brand premiums in the apartment market are similarly preferring brands in commercial facilities. Furthermore, branded commercial facilities are not only scarce but also have excellent product quality due to the construction capabilities of large construction companies accumulated over a long period, making future price appreciation expected.

For example, according to data from the Seoul Real Estate Information System, the individual publicly announced land price of ‘Venetia Mega Mall,’ a commercial facility within the ‘Lotte Castle Venetia’ complex in Jung-gu, Seoul, was 8.94 million KRW per square meter last year, which is about 55.75% higher than the non-branded commercial land price (5.74 million KRW) located within approximately 1 km radius.

An industry official said, “Branded commercial facilities are highly recognizable and easy for demanders to remember, and their excellent locations often establish them as landmarks within the region. Especially, based on long-term achievements, they have high trust and business stability, so the popularity of branded products in the commercial market is expected to increase in the future.”

This content was produced with the assistance of AI translation services.