Son Ye Jin's Luxury Commercial Property in Gangnam Faces Leasing Challenges
Son Ye Jin's luxury commercial property in Gangnam, one of Seoul's most sought-after business districts, has faced difficulties in attracting tenants despite its prime location and state-of-the-art facilities.
In 2022, Son Ye Jin purchased a two-story building near Gangnam Station for 22.4 billion won (approximately $15.5 million). She then proceeded to invest significantly in redeveloping the property into a five-story commercial complex, complete with a basement, covering a total area of 724 square meters. Given its prime position in one of Seoul's busiest commercial areas, expectations were high for the building to quickly attract tenants.
However, the property has struggled to fill its spaces, with experts pointing to high rental prices as a key factor. The cost of leasing a 30-pyung (99 m²) unit is at least 9 million won per month, with an additional maintenance fee of about 1 million won. Despite Gangnam's ongoing status as a major business hub, other nearby properties offer more competitive rental rates, making Son Ye Jin's building less attractive to potential tenants.
Furthermore, many businesses are shifting towards more flexible lease arrangements or relocating to up-and-coming areas with lower rents and steady foot traffic. Reports suggest that Son Ye Jin financed the acquisition and redevelopment of the property with a 15 billion won loan. With no tenants currently occupying the building, the delay in rental income could put additional strain on her ability to manage loan repayments.
Son Ye Jin, 43, who initially rose to fame in the early 2000s with roles in the dramas Classic and Summer Scent, went on to solidify her reputation with iconic films like A Moment to Remember and April Snow, earning her the title of "Nation's First Love." Her estimated net worth is reported to be around $20 million, according to the South China Morning Post.
Despite these financial hurdles, there is still hope that she and her team will overcome the challenges and successfully fill the vacant spaces in her property.
