Developing a deserted land as soon as possible… Suspicious investment in the former legislator’s family

In addition, it was confirmed that the members of the Democratic Party of Congress and the members of the provincial lawmakers jointly purchased the land (6409㎡) around the Gosan 2-House District in Gwangju, Gyeonggi Province. The city of Gwangju announced a change in the urban management plan of Gosan District 2 within a month after they bought the land and started the project in earnest.

As a result of the analysis of the property disclosures and the registered copies of the official gazette by the Korea Economic Daily on the 17th, four members, including the elder sister and cousin of Congressman Lim Jong-seong, and the wife of Gyeonggi-do lawmaker Lee Myeong-dong, spent 594 million won (300,000 won per 3.3㎡) in November 2018. I bought it. Assemblyman Lee is a former assistant to Assemblyman Lim.

The Gosan District 2 project is to build a house of 2000 households in the area of ​​463 Gosan-ri, Gwangju. It was first promoted in 2007, but it drifted due to the real estate economic downturn. In December 2018, a month after they bought the land, the city of Gwangju announced a plan to change the urban management (district unit) plan for the Gosan 2 district, and after collecting residents’ opinions, the plan was finalized in September 2019. After that, in October, the construction company was selected and the project was accelerated.

The land they lived on is not included in the earth, but on the border of the business site. Although it is a forest field with no adjacent roads now, the price has skyrocketed nearly 10 times as it became known that a new 12m-wide road will be opened right next to the development. When they bought the land, Rep. Lim was a member of the National Assembly’s Land, Transport and Transportation Commission (2018-2019). The parcel is located in Opo-eup, the district of Imuiwon (Gwangju-eul, Gyeonggi-do).

Rep. Lim said, “I only recently knew about the purchase of the land because I didn’t have a good relationship with my sister.” “I heard that the Gosan 2 district project was promoted before the purchase, and the seller knew that an apartment was built around it and sold it.” Lee said, “I didn’t commit an illegal act, there was no problem.”

Purchased 2000 pyeong a month before the announcement of development… Jumped 10 times in 3 years
Former Congressman Lim Jong-seong suspicion of family dumping

The whole area of ​​Gosan-ri, Gwangju-si, Gyeonggi-do, is in full swing on the 17th. In addition, the land owned by the Democratic Party member Lim Jong-seong and the family of Gyeonggi-do lawmaker Lee Myeong-dong were densely packed with trees. Workers at the construction site marked the borders with yellow flags around the parcel and proceeded with the construction. The land they lived in is not included in the Gosan District 2, but is a forest field at the border of the project site. It is 50m away from the surrounding roads. They purchased the land for 594 million won, or 300,000 won per 3.3 square meter in November 2018. However, officials from a nearby brokerage company that I met on that day agreed that the parcel was “golden.” This is because a 12m-wide road is built right in front of the ground as the development of the Gosan 2 district. Since it is not a target for land expropriation (compensation), various developments such as shopping centers are possible.

Business speed, such as selecting a contractor after purchase

The core of the suspicions surrounding the land purchased by Rep. Lim and Lee’s family is the timing and price of the purchase. Gosan District 2 was first designated as a residential district in 2007. Since then, the Gwangju Local Corporation, a public corporation in Gwangju City, has drifted due to the real estate economic downturn while promoting the business.

Rep. Lim said, “There is no problem with the development plan such as road construction was known in the 2000s.” However, after they bought the land, Gosan District 2 accelerated the business. In December 2018, one month after the purchase of the land, the city of Gwangju announced the change of the district unit plan for the Gosan District 2 district, and after completing the collection of residents, it was confirmed in September 2019. It has been three years since the proposed change to the district unit plan was issued in 2016. After that, in October 2019, the new developer, J, purchased the land, and a major construction company was selected as the contractor. An official from the developer explained, “Gosan District 2 is a place where the speed of the project was slow, such as the previous project company went bankrupt,” and said, “As the real estate economy improved, I became involved in the project.”

Around 2018, when they bought the land, land transactions in Gosan-ri surged. Land transactions in Gosan-ri were 46 in 2017, 104 in 2018, 210 in 2019, and 112 in 2020. The average actual transaction price per 3.3㎡ tripled from 1.15 million won in 2017 to 4.86 million won in 2020.

“The market price has risen 10 times in 3 years”

As a result of the Korea Economic Daily’s request to a nearby brokerage and appraisal agency, the current market price of the parcel is estimated to be between 2 million and 3 million won per 3.3㎡. It is 7-10 times the price they bought (300,000 won per 3.3㎡).

An accredited broker in Gosan-ri said, “The land in residential districts is subject to land expropriation based on the publicly announced land price, which is cheaper than the market price. “This is soaring,” he said. “Even if I sell it now, I will receive 3 million won per 3.3 square meter, and 5 million to 6 million won will go after the development of the housing site is completed.” An appraiser who requested anonymity said, “If there is a two-lane road, it will go 3 million to 4 million won per 3.3㎡, and if you touch a wider road, it will go more.”

Another real estate agent in Gosan-ri said, “I have been in the public brokerage here for about 6 years, but I didn’t know that a new road was going to be built in front of the parcel.

In the process of filing the property, the provincial lawmaker reported the parcel to another address and was imposed a fine. He explained, “I didn’t know if my wife’s land was around the housing district when reporting property.”

Police investigating allegations of land speculation by LH (Korea Land and Housing Corporation) employees confiscated and searched six locations including the Ministry of Land, Infrastructure and Transport, LH headquarters in Jinju, Gyeongnam, and North Siheung Nonghyup. It is known that 33 investigators were employed to secure related documents. The police are looking into the process of loans to LH employees in North Siheung Nonghyup.

Gwangju, Gyeonggi = Reporter Gil-seong Yang [email protected]