Surge in Chinese investors in South Korea’s Jeju Island since 2009 may be to secure residency
Land owned by Chinese property investors reached 5.92 million sq m in June – an increase of 296 times since 2009 - as they view island as convenient base for commuting to mainland.
There has been a massive surge in Chinese investors in South Korea’s Jeju Island since 2009 – particularly in the past six months – which may have come so they can secure permanent resident visas by buying properties, South Korean media reports.
The total area of land owned by mainland property investors has risen from only 20,000 square metres in 2009 to 5.92 million sq m by June this year – an increase of 296 times.
There has been a surge in the value of the properties owned by Chinese investors, too – up a massive 1,450 times over the period – from 400 million won (about HK$3 million) to 580.7 billion won (HK$4.4 billion), the Chosun Ilbo daily newspaper reported.
This huge increase in mainland property investment on the volcanic island of about 1,849 sq km, which has a population of about 590,000 people, has come following the launch of a new immigration scheme in 2010.
The change means that residency is granted to foreign investors and their families who live on Jeju Island for five years after buying property worth US$500,000.
These investors and their families can enjoy the same medical, education and employment benefits as South Korean citizens.
The Chosun Ilbo report said nearly half of all the properties bought by mainland investors had come in the first half of this year, indicating Chinese property investment on Jeju Island had been rapidly speeding up.