[비즈한국] A plot of land in Yeongdeungpo, Seoul, which was donated by Haesung Group Chairman Dan Jae-wan—a known real estate tycoon—to his daughter Dan Kyung-hwa, was recently sold for 35 billion won. Chairman Dan had previously donated two large office buildings in Gangnam-gu, Seoul, estimated to be worth a total of 500 billion won, to his eldest son, Vice Chairman Dan Woo-young, and his second son, President Dan Woo-joon, in 2016. It appears that the assets of the Haesung Group owner family are being passed down to the next generation. The late Dan Sa-cheon, the founder of Haesung Industrial034810 and the father of Chairman Dan Jae-wan, was known during his lifetime as a "big hand" in the Myeong-dong private money market.
According to industry sources and real estate registers, Dan Kyung-hwa, the daughter of Haesung Industrial Chairman Dan Jae-wan, sold the 1,385㎡ (approx. 419 pyeong) plot of land in Yeongdeungpo, Seoul, which she had received from her father, for 35 billion won on the 1st. The buyer is Edge Core PFV, a project financing vehicle (PFV) established by Hanwha000880. It is reported that Hanwha established the PFV in September to develop a small-scale data center in the area and subsequently purchased the site.
Chairman Dan Jae-wan donated this land to his daughter, Dan Kyung-hwa, in January 2022. The 4-story commercial building that originally stood on the site was demolished in February 2021, leaving the land vacant until it was donated. Eight months after receiving the gift, in September 2022, Dan Kyung-hwa provided the land as collateral for tax payments, which was released upon final settlement. Based on the timing, it is presumed that the land was used as collateral for real estate gift taxes.
Chairman Dan Jae-wan has been transferring real estate assets to his children since around 2017. Previously, in December 2016, he donated the "Haesung Building 1" in Daechi-dong, Gangnam-gu, Seoul, to his eldest son, Vice Chairman Dan Woo-young, and the "Haesung Building 2" to Vice Chairman Dan Woo-young (50% stake) and his second son, President Dan Woo-joon (50% stake). Haesung Building 1 and 2 are large office facilities, each standing 20 stories (gross floor area of 35,136㎡) and 18 stories (gross floor area of 37,532㎡) high, respectively. The current asset value of the two buildings is estimated to exceed 500 billion won in total.
His second son, President Dan Woo-joon, who inherited a relatively smaller stake in the Haesung buildings, received an additional donation of land in Seocho-dong, Seoul, around the same time. At the end of 2018, when he donated the Haesung buildings, Chairman Dan Jae-wan also donated a 1,235㎡ plot of land near Yangjae Station on Subway Line 3 to President Dan Woo-joon. In July 2021, President Dan constructed a tourist accommodation facility named "Jun Tower" on this site. This building, which stands 6 stories underground and 18 stories above ground (gross floor area of 16,900㎡), currently houses the global hotel chain Hilton Garden Inn.
Haesung Industrial serves as the holding company for the Haesung Group and specializes in real estate. It was founded in February 1954 by the late founder Dan Sa-cheon, a native of Gaeseong who was known as a "big hand" in the Myeong-dong private money market after accumulating wealth by selling sewing machines in Seoul. Haesung Industrial has grown into a massive mid-sized enterprise with consolidated assets of 2.5174 trillion won and revenue of 2.3084 trillion won as of the end of last year. It controls 16 subsidiaries, including Hankuk Paper, semiconductor lead frame manufacturer Haesung DS195870, and power tool manufacturer Keyang Electric Machinery012200.
The largest shareholder of Haesung Industrial is Chairman Dan Jae-wan, son of founder Dan Sa-cheon. As of the end of September this year, he holds an 18.05% stake in Haesung Industrial common stock. Including Chairman Dan, his eldest son Vice Chairman Dan Woo-young (17.19%), his second son President Dan Woo-joon (17.06%), and other special relations, the total stake held by the seven related parties is around 52.53%. In July of this year, Chairman Dan sold 10% of his 28.05% stake in equal parts to Vice Chairman Dan Woo-young and President Dan Woo-joon through a block deal.
The Haesung Group owner family is considered one of South Korea's representative real estate tycoons. They own numerous commercial properties, including Haesung Building 1 and 2 and Jun Tower. It is reported that the Haesung Group also owns the Haenam Building in Jung-gu, Seoul, and the Songnam Building in Gangnam-gu, Seoul. The total value of real estate held directly or indirectly by the Haesung Industrial owner family is currently estimated to be in the trillions of won.