seoul office leasing

Monthly Market Review

Seoul Office Leasing

May 2021

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Target Areas

Target Samples

Survey Method

Main Focus

Survey Period

DB Management

All districts in Seoul and Pangyo & Bundang districts

Commercial properties of 4 stories or more, and with a gross floor area of 1,000㎡ ( =300py) or more

Telephone enquiry, publications from property management and Korea’s government

Market trend in a property industry, changes in vacancy rate and tenants’ inflow/outflow etc.

One calendar month, April 2021

Okey Research Center has carried out our research with a large numbers of sample data and provided the vacancy and rent information of office buildings via our office lease platform ‘OKEY- Office Key’.

CBD GBD YBD ETC PBBDCentral Business District Gangnam Business District Yeido Business District Non Major Business District PTV-Bundang Business

District

Jongro-gu, Jung-gu, etc.

Gangnam-gu, Seocho-gu, etc.

Yeouido, Yeongdeungpo-guetc.

Pangyo Techno Valley, Bundang-gu in Sungnam-si etc.

P GradePrime Building

S GradeLarge Building

A GradeLarge-Medium

B GradeMedium-Small

C GradeSmall Building

OKEY

Gross Floor Area

Lease Area of Sample

Floor

Survey Overview

5 Regional Divisions in Seoul

Categories of Office Buildings by Their Sizes 49,587m2

(15,000py)

23,140m2

(7,000py)

13,223m2

(4,000py )

Above 3,3067m2

(Above 1,000py)

Under 3,306m2

(Under 1,000py)

1,653m2

(500py)

992m2

(300py)

661m2

(200py)

Above 496m2

(Above 150py)

Under 496m2

(Under 150py)


Songpa, Mapo, Yongsan and other areas outside Central Seoul

Exchange Rate 1 USD = 1,123.30 KRW (0.89 USD = 1,000 KRW) as at 3 May 2021

Sample Size of Each Distirct


The cost that 1m2 of GFA incurs to a tenant who rents the property. NOC can be useful to compare between different types of office buildings.

NOC (Net Occupancy Cost)

Gang-seo

Yang chunYeongDeungpo

Mapo

Eun-pyeng

Seodae-moon

Jong-ro

Jung-gu

Yong-san

Guemcheon

Gwan-ak

Dong-jak

Seocho Gangnam

Songpa

Gang-dong

Sung-dong

Gwang-jin

Jung-rang

Dongdae-moon

Sung-buk

Gang-buk

Do-bong

No-won

Bundang

Guro

Building Survey : Total 3,006

P S A B C

CBD 233 235 113 259 98

GBD 54 100 117 342 536

YBD 96 65 20 36 11

ETC 131 105 45 223 111

PBBD 20 28 6 13 3

PBBD(PTV-Bundang Business District)

• Sample Survey : 70• Total GFA : 1,857,075㎡

(561,765py)

ETC(Non Major Business District)


(2,679,078py)

YBD(Yeouido Business District)


(1,222,074py)

GBD(Gangnam Business District)

• Sample Survey : 1,149• Total GFA : 10,588,642㎡

(3,203,064py)

CBD(Central Business District)

• Sample Survey : 938• Total GFA : 7,786,069 ㎡

(2,355,286py)

6.38 %

Avg.Rent

Avg.Deposit

Avg.Management. Fee

21.73 270.12 6.92

The average vacancy rate of the office

buildings in Seoul is 6.38 % as at April

2021, and the average NOC is $ 49.28.

$ 49.28

Avg. NOCVacancy rate

SBDSeoul Capital Area

01

SBD Office Leasing Market

Vacancy Rate & NOC in Seoul and Each District

Vacancy Rate & NOC in Seoul & Each Building Category

49.2

8

74.1

6

58.5

1

50.5

7

41.5

8

34.4

4

6.4%5.3% 5.5% 5.9%

8.9%

14.0%

0.0%

5.0%

10.0%

15.0%

-

20.00

40.00

60.00

80.00

Seoul P S A B C

NOC Vacancy Rate49.2

8

57.6

2

46.1

4

58.6

7

38.9

3

42.5

8

6.4%

7.8%

5.7%

8.6%

4.9%

1.3%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

-

10.00

20.00

30.00

40.00

50.00

60.00

70.00

Seoul CBD GBD YBD ETC PBBD

NOC Vacancy Rate

The following charts indicate the change of the vacancy

level in Seoul. The quality tenants such as aTium Corp.

and Yunda Express Ltd. moved into Joon Tower in CBD

which filled out the vacant units of 6,700㎡.

In GBD, there was a new supply of 5,700㎡ due to

Joonang Building having completed the extension work

to the building, whereas Ably Corp., the new tenant of

Kyobo Tower occupied the vacant units of 6,400㎡. On

the other hand, 337 Gangnamdaero Building had its

vacant units of 1,300㎡ filled out, thanks to Band & Link

Corp. and Medical Clinic Corp., both newly renting one

floor and four floors each in the building.

Insung Information Corp. also signed the lease contract

with Samjung Development Building and began renting

the vacant units of 8,500㎡ using over 7 floors in the

building. KG Engineering Ltd. moved from PNS Homes

Tower in Moonjung-dong to KG New Building, creating

new vacant space of 6,700㎡.

SBDSeoul Capital Area

01

SBD Office Leasing Market

Monthly Vacancy Rate in 5 Main Districts

Monthly Vacancy Rate for Different Size of Buildings

SBD 6.38%

CBD 7.76%

GBD 5.72%

YBD 8.63%

ETC 4.91%4.00%

5.00%

6.00%

7.00%

8.00%

9.00%

10.00%

11.00%

12.00%

13.00%

5 6 7 8 9 10 11 12 1 2 3 4

Total 6.38%

P 5.31%S 5.49%

A 5.92%

B 8.94%

C 13.96%

2.50%

4.50%

6.50%

8.50%

10.50%

12.50%

14.50%

16.50%

6 7 8 9 10 11 12 1 2 3 4

7.76 %

Avg.Rent

Avg.Deposit

Avg.Management. Fee

23.79 251.73 9.10


buildings in CBD is 7.76 % as at April


$ 57.62


CBD Central Seoul

02

CBD Office Leasing Market

Vacancy Rate & NOC in Central Business District (CBD)

Vacancy Rate & NOC for Different Sizes of Building in CBD

57.6

2

83.2

9

60.1

2

47.9

3

44.4

3

36.5

9

7.8% 7.4%6.3%

9.7%

11.7%

15.3%

0.0%

5.0%

10.0%

15.0%

20.0%

-

20.00

40.00

60.00

80.00

100.00

CBD P S A B C


2

61.5

3

43.6

1

56.0

7

56.2

8

7.8%

6.6%

3.7%4.5%

6.8%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

-

10.00

20.00

30.00

40.00

50.00

60.00

70.00

CBD Gwanghwamoon

Station

City Hall Station Jonggak Station Euiljiro Ipgu Station

NOC Vacancy Rate

Avg.Rent

Avg.Deposit

Avg.Management. Fee

22.74 295.88 5.74


buildings in GBD is 5.72 % as at April


5.72 % $ 46.14


GBD Gangnam03

GBD Office Leasing Market

Vacancy Rate & NOC in Gangnam Business District (GBD)

Vacancy Rate & NOC for Different Sizes of Building in GBD

46.1

4

91.8

8

75.5

9

58.7

0

46.8

3

32.8

6

5.7%

3.6% 3.6%

6.3%6.9%

11.9%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

-

20.00

40.00

60.00

80.00

100.00

GBD P S A B C


4

59.9

1

56.5

6

35.1

3

53.2

9

38.6

5

5.7%

3.9%

5.2%

2.0%

5.7% 5.7%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

-

10.00

20.00

30.00

40.00

50.00

60.00

70.00

GBD Teheranro Gangnamdero Yeongdongdero Dosandero Seocho Kyode

NOC Vacancy Rate

8.63 %

Avg.Rent

Avg.Deposit

Avg.Management. Fee

21.22 310.45 8.44


buildings in YBD is 8.63 % as at April 2021,

and the average NOC is $ 58.67.

$ 58.67


YBD Yueido &Yeongdeungpo

04

YBD Office Leasing Market

Vacancy Rate & NOC for Different Sizes of Building in YBD

Vacancy Rate & NOC in Yeongdeungpo Business District (YBD)

58.6

7

83.2

6

50.6

3

41.8

7

27.6

9

23.5

2

8.6% 9.3% 9.5%

4.9% 5.2%

26.0%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

-

20.00

40.00

60.00

80.00

100.00

YBD P S A B C


7

75.4

7

32.7

3

37.0

6

8.6% 9.0%

4.2%

10.4%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

-

20.00

40.00

60.00

80.00

YBD East Yeouido West Yeouido Youngdeungpo

NOC Vacancy Rate

4.91 %

Avg.Rent

Avg.Deposit

Avg.Management. Fee

16.89 235.11 5.24


buildings in ETC is 4.91 % as at April 2021,

and the average NOC is $ 38.93.

$ 38.93


ETC Other District in Seoul

05

ETC Office Leasing Market

Vacancy Rate & NOC in Other District in Seoul (ETC)

Vacancy Rate & NOC for Different Sizes of Building in ETC

38.9

3

43.9

5

43.5

2

39.9

3

32.4

6

41.2

6

4.9%

2.4%

5.6%

3.6%

14.1%

23.7%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

-

10.00

20.00

30.00

40.00

50.00

ETC P S A B C


3

36.1

9

31.3

4

36.3

3

34.7

4

55.3

5

51.9

6

4.9%

2.3%3.0%

4.7%

9.3% 8.8%

2.5%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

-

10.00

20.00

30.00

40.00

50.00

60.00

ETC Songpa,

Gangdong

Gwangjin

Sungdong

Mapo Sangam Guro Geumchun Gwanak Dongjak Yongsan

NOC Vacancy Rate

1.34 %

Avg.Rent

Avg.Deposit

Avg.Management. Fee

16.20 170.59 6.12


buildings in PBBD is 1.34 % as at April


$ 42.58


PBBD PANGYO &BUNDANG

06

PBBD Office Leasing Market

Vacancy Rate & NOC for Different Sizes of Building in PBBD

Vacancy Rate & NOC in Pangyo & Bundang Business District (PBBD)

42.5

8

54.5

1

40.7

3

30.8

1

38.4

3

21.7

8

1.3%

0.1%

1.7%

3.4%3.0%

10.4%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

-

10.00

20.00

30.00

40.00

50.00

60.00

PBBD P S A B C

NOC Vacancy Rate

42.5

8

49.4

1

40.5

5

1.3%

0.2%

2.6%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

-

10.00

20.00

30.00

40.00

50.00

60.00

PBBD PTV Bundang

NOC Vacancy Rate

Office Leasing Market

Market Submarket Gross Leasing Area Avg. Deposit Avg. Rent Avg. Mgmt. Fee Avg. NOC Vacancy rate

CBD

Gwanghwamoon Station 878,460 254.05 25.58 8.88 61.53 6.65%

City Hall Station 894,595 171.33 17.63 7.84 43.61 3.73%

Jonggak Station 1,001,435 236.30 23.28 9.16 56.07 4.47%

Euiljiro Ipgu Station 837,949 212.24 21.99 9.54 56.28 6.82%

GBD

Teheranro 3,396,687 307.85 26.05 8.02 59.91 3.92%

Gangnamdero 1,773,162 337.24 26.70 6.84 56.56 5.16%

Yeongdongdero 666,717 277.31 17.28 5.23 35.13 1.95%

Dosandero 277,327 453.55 29.36 6.32 53.29 5.73%

Seocho Kyode 401,947 279.50 20.96 4.29 38.65 5.72%

YBD

East Yeouido 2,892,528 271.82 25.96 10.64 75.47 8.95%

West Yeouido 480,763 123.37 11.66 6.79 32.73 4.24%

Youngdeungpo 666,624 489.38 16.29 4.69 37.06 10.37%

ETC

Songpa, Gangdong 2,088,371 229.24 16.07 5.31 36.19 2.31%

Gwangjin Sungdong 669,861 187.47 15.03 4.02 31.34 2.97%

Mapo Sangam 2,129,178 173.99 14.81 5.74 36.33 4.71%

Guro Geumchun 998,547 152.61 14.11 2.93 34.74 9.33%

Gwanak Dongjak 597,391 667.27 28.73 7.02 55.35 8.76%

Yongsan 1,303,345 274.64 21.97 7.45 51.96 2.52%

PBBD PTV 944,000 180.17 18.73 6.42 49.41 0.16%

Bundang 913,074 167.74 15.45 6.03 40.55 2.56%

OverallLease status

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Web www.okeyok.com

Email [email protected] Center

seoul office leasing

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