The level of Chinese investment in the property sector of South Korea's largest island of Jeju is soaring, rising 49 times between 2010 and the first half of this year.

At the end of 2010, Chinese citizens and businesses owned about 49,000 square metres of land on the resort island. By June this year, their holdings rose to 2.46 million square metres, Jeju provincial government data showed.

In other words, the amount of Jeju properties owned by Chinese investors has increased 4,892 per cent in just 2½ years.

"About 85 per cent of Chinese-owned land is meant for large resorts and hotel developments," said Ko Tae-min, a provincial government official responsible for attracting foreign investment to Jeju.

By June this year, Chinese-owned land in Jeju was worth nearly 158 billion won (HK$1.1 billion).

The jump in property investments coincides with Korea's introduction of permanent resident visas to foreigners who invest in property in Jeju.

Investing in Jeju as a pathway for Korean permanent residency appealed to Chinese citizens because of the island's proximity to China, its mild climate and good health care facilities, Korean media reported.

At present, Chinese-owned land accounts for 0.13 per cent of Jeju's total land mass.

Chinese investors' land-buying spree in Jeju would probably continue, especially in resort developments, because of sustained interest in the local tourism industry, the economy ministry said.

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