강남의 마지막 퍼즐, ‘라이온미싱 부지’가 1조 원 규모 프라임 오피스로 다시 태어난다 > K-wave Trends

The core of this project is that the area of 1323 Seocho-dong, which had been in a blind spot for development for decades due to a complex shareholding structure, was commercialized by coordinating public and private interests. The site is in Seocho-ro District Unit Plan Special Plan Zone 2, which is directly adjacent to Gangnam Station, and is Gangnam’s ‘golden location’ where the business axis of Teheran-ro and the commercial infrastructure of Gangnam-daero intersect. KORAMCO solved the challenges of development by mobilizing the project REITs method to consolidate scattered land ownership, and as a result, laid the foundation for designing a landmark complex facility ranging from 6 floors underground to 23 floors above ground with a total floor area of ​​20,000 pyeong. This is expected to be a catalyst for a significant expansion of the Gangnam business area to the Seocho-ro area in conjunction with the undergrounding of the Gyeongbu Expressway in the future.

The value of a space is not simply determined by its size, but also depends on how accurately the needs of the companies that fill it are read. KORAMCO designed this project with unconventional specifications of approximately 500 pyeong of exclusive floor area, 4.5m floor height, and 3m ceiling height, targeting the demand for office buildings from large corporations and foreign companies. At a time when the existing prime offices in the Gangnam area are aging, the emergence of a new building equipped with the latest amenities and parking spaces for 390 cars will give it an unrivaled advantage in the market. Considering that there are currently only six large prime offices of 15,000 pyeong or more in the GBD that can be traded through REITs or funds, the market dominance of this L Project is expected to be further maximized in 2031, when construction is completed.

A strategic trick of this project is the active use of Seoul City’s ‘pre-negotiation system’ to increase the feasibility of the project. For the site in question, it was essential to upgrade the use zone for high-density development, and to this end, KORAMCO is faithfully reflecting the public contribution plan and seeking to harmonize it with the city plan. Additionally, joint investment with a proven partner, SK D&D, is a key device that ensures business stability. SK D&D is a developer that has already proven its capabilities by supplying more than 220,000 pyeong of new offices in major business districts in Seoul, and is expected to maximize business efficiency by combining KORAMCO's operational capabilities and SK D&D's development know-how. This is not just a simple investment of capital, but a strong will to complete a ‘value chain’ that encompasses the entire process from planning to completion and operation.

KORAMCO Asset Trust's latest move suggests that it is fundamentally changing the structure of a real estate development investment company beyond simply maintaining its second place in the industry with 56 trillion won in operating assets. KORAMCO, which has successfully established the K-Square Gangnam series and accumulated experience through the Yeouido TP Tower and Gasan Data Center, has now expanded its business scope beyond real asset management to complex structured investments and mega-scale development projects. In the past, we focused on passive operations such as purchasing and managing assets, but now we have become an active developer that leads changes in urban planning from location selection. These changes will create a space that meets the complex work environment and ESG management required by large tenants, and will be an important indicator driving qualitative growth in the Korean real estate market.