According to the construction industry on June 21, the large-scale relocation is expected to begin around 2027-2028, considering the pace of the Mokdong New Town apartment project. The reconstruction area encompasses a total of 26,629 households, which will transform into a residential complex equivalent to a "mini new town" upon completion, with approximately 47,000 households.
Among the 14 complexes in the Mokdong New Town, eight have completed the designation of project implementers through a trust method. Of the complexes being developed through a cooperative model, complexes 4, 8, and 12 have received approval for their establishment, while complexes 3 and 7 are in the process of forming a promotion committee.
The fastest-moving project is Mokdong Complex 6, which became the first among the 14 complexes to pass the integrated review by the Seoul city government last month and is preparing for a construction company selection meeting next month.
![View of Mokdong Apartments Complexes 9 and 10 [Photo=Yangcheon-gu, Yonhap News]](https://image.ajunews.com/content/image/2026/06/21/20260621145631916474.jpg)
Nearby new complexes include Mokdong Hillstate and Raemian Mokdong Adeleche. In contrast, Mokdong Daelim Apartments and Mokdong Lotte Castle Winner have been completed for over 20 years. Industry experts believe that if relocation demand concentrates in these areas, rental prices could rise significantly.
There is also potential for demand to spread to areas such as Gangseo-gu, including Hwagok, Deungchon, and Gayang-dong, as well as Yeongdeungpo-gu and Guro-gu in southwestern Seoul.
Particularly, if there is a shortage of rental apartments in the vicinity, mixed-use developments and officetels such as Hyundai Hyperion, Trapalace, and Paragon may become attractive alternative housing options. As families seeking good school districts and essential amenities move in, both rental and sale prices are expected to rise.
Mokdong Paragon is a large officetel with 700 units, designed similarly to apartments. According to the Ministry of Land, Infrastructure and Transport's real transaction disclosure system, a unit with a dedicated area of 95 square meters sold for 1.85 billion won in March, setting a record high.
Mokdong Hyundai Hyperion is another notable residential mixed-use development. Completed in 2003, its current market price ranges from 1.7 billion to 1.8 billion won. Mokdong Trapalace, which opened in 2009 and was constructed by Samsung C&T, saw a unit of 124.94 square meters sell for over 3.1 billion won last December.
However, there are clear limitations to mixed-use developments and officetels. While the typical apartment has a usable area ratio of around 80%, mixed-use developments range from 70% to 75%, and officetels only offer 40% to 50%. Thus, even with the same supply area, the actual usable space is relatively smaller. Additionally, many of these developments are located in prime areas, leading to higher land costs and consequently elevated sale prices.
Song Seung-hyun, CEO of Urban and Economic Research, stated, "As the Mokdong reconstruction relocation begins, there could be a short-term rental crisis, and the pressure on rental prices may spread beyond Mokdong and Sinjeong-dong to areas like Gangseo, Yeongdeungpo, and Guro." He also noted that mixed-use developments and officetels could see price increases due to incoming alternative housing demand, but the market impact will vary depending on the timing of relocations and the scale of new housing supply.
* This article has been translated by AI.
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