The average price of real estate rose 2.61 percent this year in Taipei, the lowest increase since 2005, the Land Department said yesterday.
The financial crisis and the poor performance of the real estate market both contributed to the slow growth of real estate prices this year, compared with a 6.69 percent increase last year, statistics from the department showed.
The Shin Kong Tower (新光摩天大樓) in Taipei, valued at approximately NT$3.38 million per ping (US$30,620 per square meter), retained its “King of the Land” title for the 11th consecutive year.
The world’s tallest building, Taipei 101, came in second at NT$3 million per ping.
Public transportation systems and urban planning projects both had an effect on real estate prices, Huang said.
On average, prices in Neihu District (內湖) experienced the highest increase among the city’s 12 districts at 5.32 percent, thanks to the development of the Neihu Technology Park. Neihu was followed by Nangang (南港) and Da-an (大安) districts.
The price was calculated by collecting information from real estate agencies and land acquisition companies as a reference for next year’s market price, Commissioner Huang Rong-feng (黃榮峰) said yesterday, adding that the department merely reports the current situation, rather than trying to influence the market.
Huang said Taipei 101 would continue to increase in value as a result of rapid development of Xinyi District and the completion of the Xinyi MRT line in 2012.
However, the completion of the Taoyuan Airport MRT line the same year and various other urban development projects would see to it that the Shin Kong Tower remained competitive, he said.