SEOUL, Aug. 24 (Korea Bizwire) — The number of new property developer registrations reached an all-time high in the first half of this year despite the real estate market’s entry into an adjustment phase, thanks to rising demand for the development of non-residential buildings, including shopping centers.
According to the Ministry of Land, Infrastructure and Transport, the number of real estate developers newly registered across the country in the first half of this year totaled 238, up 3.9 percent from a year ago.
This figure topped last year’s first half figure, which was the highest since related statistics were first tallied in 2017.
Even in Seoul and surrounding metropolitan areas where housing supplies declined sharply, the number of newly registered property developers remained similar to last year’s levels.
The number of developers that shut down operations in the first half of this year across the country stood at 99, down 16.1 percent from a year ago.
The primary factor behind the increase in the number of newly registered developers and the decline in the number of closed developers is the steady demand for new development led by non-residential buildings, including shopping centers.
Another factor contributing to the increase in the number of real estate developers is the government’s release of various housing supply plans.
However, given a higher loan burden resulting from interest rate hikes, it remains uncertain whether the business environment will remain positive.
J. S. Shin (firstname.lastname@example.org)