Koramco REITs Management and Trust announced on the 25th that it has completed partial remodeling of the 'Grand Seoul' office in Jongno-gu, Seoul, and will open the concierge lounge and retail common areas.
Grand Seoul is a twin complex building owned by the 'Cokrep Chungjin 18 and 19' REIT established by Koramco in 2011. It consists of office and retail space with a total floor area of about 173,000 square meters (over 52,300 pyeong), spanning 7 basement levels and 24 above-ground floors. It was completed in 2014.
In Tower 1 of this building, companies such as Korea Zinc, Mirae Asset Global Investments, and TONGYANG Life Insurance are long-term tenants, while Tower 2 is used as the headquarters by GS Engineering and Construction. Additionally, global asset management firms are currently considering using it as a hub office.
The spaces remodeled this time include the building lobby and parking areas, along with parts of the office floors and the entire retail area. Improvement works equivalent to new construction standards have been carried out through the interconnecting space facilities.
Koramco's remodeling this time is part of an operational strategy to respond to the growing demand for premium office spaces in urban areas and enhance the asset value of the building. Beyond simple facility improvements, it represents a value-add strategy that takes into account tenant satisfaction and the long-term growth potential of the asset by completely restructuring the functions and image of the space.
In particular, the entire 7th floor of Tower 1 is being developed into a concierge lounge exclusively for tenant corporations, and the operation has been entrusted to Haevichi Hotels & Resorts, a provider of top-tier hotel services in the country. The company explained that it has been reborn as an asset in line with the 'Flight to Quality' trend, which is a key consideration for corporations recently in need of headquarters.
Additionally, the retail space has been entrusted to Shinsegae Property, which operates Shinsegae Starfield and Centerfield Retail. It is expected to be reorganized into a brand-centered integrated MD (store composition) rather than the conventional individual store-centered operation of composite office facilities.
Kim Cheol-kyu, head of the REITs division at Koramco REITs Management and Trust, said, 'Grand Seoul meets the criteria for trophy assets in terms of location, scale, and operation,' and noted, 'With advanced upgrades on both hardware and software through this remodeling, we expect to further solidify its status as a symbolic office representing the urban business district in the future.'