A Perception survey on factors affecting of the Local Real Estate market by Shipbuilding industry and propose a policy alternative.
-Focused on Geoje City-
Ahn Sanghyun
Department of Real Estate
Graduate School of Real Estate, Myongji University
Dir...
A Perception survey on factors affecting of the Local Real Estate market by Shipbuilding industry and propose a policy alternative.
-Focused on Geoje City-
Ahn Sanghyun
Department of Real Estate
Graduate School of Real Estate, Myongji University
Directed by Professor Kwon Daejung
ABSTRACT
The real estate market of Geoji City, Gyeongsangnamdo Province called the city of the shipbuilding industry, is undergoing recession along with regional economy as the long-term recession of the domestic shipbuilding industry has lasted. It shows economic figures for the national upper quantities of unsold apartments, the drop in buy/sell prices and Chonse prices because of the reduction in population and real income, the oversupply of newly built houses and so on, which arise from the recession the shipbuilding industry.
Therefore, this study attempted to analyze the effect of the shipbuilding industry on the regional real estate market. For this purpose, it reviewed previous studies and analyzed its differentiation from them and their limitation. And the questionnaire research was conducted for residents in Geoje City with the questionnaire composed of six questions.
In the questionnaire research, the respondents were asked about their general characteristics, the real estate most greatly influenced by the recession of the shipbuilding industry and the prediction about the future real estate business of Geoje City related to the prediction about the business of the shipbuilding industry. And they were asked to present their opinions about the alternative industry(business) to reduce the effect of the shipbuilding industry on the real estate market.
As a result, the following findings were obtained:
First, they pointed out that the market prices for apartment housing and one-/two-room housing were most greatly influenced by the recession of the shipbuilding industry. And they presented that its cause included their oversupply at the uphase of the shipbuilding industry, the reduction in population and the increase in one-person households.
Second, they presented that the future real estate revitalization schemes included the promotion of the tourism industry, the promotion of the convention industry for specialization in the shipbuilding industry, the promotion of the 4th industry(IT venture business). Their detailed contents are as follows:
First, the scheme for promotion of the tourism industry is to construct and reinforce the tourist and industrial cluster by making nearby areas of Busan, Changwon, Kimhae, etc. more easily accessible to the public by lowering 10,000won, the current Goega Grand Bridge toll, on the basis of the one-way toll of the small automobile. And there is a need to make Geoje and Tongyong easily accessible to more tourists by enabling them to go from the metropolitan area to Geoje City within two hours and thirty minutes by using the Kimcheon-Geoje Inland Railroad set to be early completed. Finally, there is a need to consolidate the image of the city specializing in the shipbuilding industry by opening the park or museum specializing in the shipbuilding industry as the anchor facility.
Second, the scheme for promotion of thee convention industry specializing in the shipbuilding industry is to conduct the regeneration project of the old downtown, extend the convention facility and make the convention event easily accessible with the completion of the Kimcheon-Geoje Inland Railroad. And there is a need to contribute to the revitalization of regional economy by promoting and supporting tourism and convention disciplines for the purpose of promoting regional talented persons.
Third, the scheme for promotion of the fourth industry((IT venture business) is to link regional shipbuilding yards and adjacent firms with employment and promote the revitalization of regional economy by finding out and cultivating regional superior talented persons for the purpose of combining information technology(IT), information communications technology(ICT) and digital transformation which are the characteristics of the shipbuilding industry. And there is a need to promote the IT discipline, attract superior talented persons through the benefit of scholarship, provide support for the office facility for venture startups with early tax support. And Geoje City needs to provide unsold apartments as the lodging facility after leasing and purchasing them. This enables Geoje City to be reborn as the city specializing in IT like Malmő City, Sweden, along with the effect of real estate market stabilization.
It is expected that Geoje City will contribute to establishing the long-term plan by conducting the feasibillity analysis about the above-mentioned three alternatives, lowering dependence on the shipbuilding industry through the linkage among the private sector. government and the public sector, promoting the alternative industry and revitalizing the real estate market.
Key words : shipbuilding industry, alternative industry, tourism industry, convention industry specializing in the shipbuilding industry, fourth industry