Son Ye Jin’s 24.4 billion won ($17 million) investment in a Gangnam building hasn’t panned out as hoped—the property remains vacant with no tenants secured despite recent renovations.
The commercial building in Seoul, which Son Ye Jin purchased in 2022 for 24.4 billion won, is reportedly still unoccupied. Although the building was recently expanded, it hasn’t attracted any tenants and left her with a monthly interest payment of about 50 million won ($35,000) to cover the loan.
YouTube channel “GriGura” featured Kim Gura discussing the issue alongside real estate experts on March 26th. Kim In Man, head of the Real Estate Economy Research Institute, explained, “The lot spans about 80 to 84 pyeong (265 to 278 square meters), making it a good fit for new construction. Priced at 300 million KRW ($210,000) per pyeong, it’s a reasonable deal for a commercial spot on a main road in Gangnam.” He added, “If a five-story building were built, the total floor area would be about 250 pyeong (826 square meters) based on the floor area ratio, and construction costs alone would come to around 2.5 billion won ($1.7 million).”
However, the core issue is that the building remains unleased even after completion. Kim In Man noted, “Even Gangnam’s commercial districts are seeing lower leasing demand due to the economic downturn.” He further pointed out, “If you lower the rent, the building’s value drops. But if you keep it as is, the loan interest keeps piling up, which is a heavy burden.”
Son Ye Jin reportedly took out a loan of approximately 15 billion won ($10 million), with a maximum bond amount of 18 billion won ($12.5 million), to purchase the property. With an estimated annual interest of 600 million won ($418,000), her monthly interest payments come to roughly 50 million won ($35,000).
Kim Gura remarked, “This situation would be tough for anyone to handle, not just Son Ye Jin,” emphasizing that even with a steady income, real estate vacancies can create a significant financial strain.
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