The housing prices in Incheon, Anyang and Gunpo in Gyeonggi Province, which were eliminated from the government's railway undergroundization leading project, continue to decline. These areas are planning to make some changes to the project while actively promoting undergroundization despite being eliminated, aiming for a re-challenge in the May public recruitment.
According to the Korea Real Estate Board's weekly apartment price trend on the 12th, the apartment resale prices in Incheon, where the Gyeongin Line undergroundization project is being pursued, have shown a declining trend for seven consecutive weeks since the elimination from the leading project selection on February 19, with statistics from February 24 to the 7th. The Anyang Manan District, which includes the section from Seoksu Station to Myeonghak Station on Subway Line 1 that was expected to be a leading project site, also declined for seven consecutive weeks. Particularly, from March onwards, the rate of decline has consistently exceeded 0.1%. Gunpo recorded a steady status on the 24th and began to decline from the first week of March, marking six consecutive weeks of decline.
Previously, the Ministry of Land, Infrastructure and Transport announced on February 19 that it would invest 4.3 trillion won in business funds to recover the regional construction economy and has selected three locations: Busan, Daejeon, and Ansan in Gyeonggi Province, as leading project sites for undergroundization.
Residents in the areas eliminated from the leading project expressed that there has been an impact on the real estate market. Anyang City had been preparing for railway undergroundization for 14 years but ultimately was eliminated. The citizens of Anyang held a citizen's rally on March 13 in front of Anyang Station Square, urging for the undergroundization of the Gyeongbu Line.
An official from the A Authorized Real Estate Office in Anyang's Manan District said, "Given the lack of real estate benefits in Manan compared to Dong-an District, where the first generation new town, Pyeongchon, is located, there were high expectations for railway undergroundization. In particular, if the issues like noise caused by overhead railroads that cut through the city are improved, there was hope that it would have a positive impact on real estate."
Gunpo, where the overhead railway divides the city into four parts, was also eliminated. Plans by Gunpo City to build a complex transfer center on the secured site for undergroundization have also faced setbacks. An official from the B Authorized Real Estate Office in Geumjeong-dong, Gunpo said, "Last year, interest in Gunpo real estate increased due to expectations for undergroundization, but now, with the market stagnation, inquiries have stopped. It’s expected that if the railway undergroundization project and redevelopment of the first generation new towns are actively pursued, expectations will rise again."
Incheon has also modified its business plan for a re-pursuit. According to the repair industry, Incheon has recently selected Dongmyung Engineering Corporation as the responsible contractor for the 'Gyeongin Electric Railway Underground Integrated Development Business Planning Study' and is currently undergoing administrative procedures for the selection.
The initial plan was to underground the entire Gyeongin Line, but the Ministry of Land, Infrastructure and Transport showed a reaction that undergrounding the entire line would be difficult, ultimately leading to elimination from the leading project. Incheon will prioritize moving forward from the 'Incheon Station to Bugae Station' section, which is relatively promising for business.
All three regions plan to make a re-challenge for the selection of the 'Integrated Development Comprehensive Plan for Railway Undergroundization,' which the Ministry of Land, Infrastructure and Transport will review after receiving additional business proposals from local governments in May and is expected to announce by the end of this year. An official from Gunpo City stated, "We've been preparing since before the leading project, and although we were eliminated from the leading project, we are continuously promoting the study to be reflected in the comprehensive plan, and we are currently at the stage of completing an interim report."
An official from Anyang City stated, "It seems that the citizens of Anyang expected their surrounding environment to improve and infrastructure to be built due to railway undergroundization, but there is a lot of disappointment. We are currently preparing to submit a proposal for the comprehensive plan in May."