We will position ourselves as a comprehensive service provider that enhances real estate value, beyond facility management. Our goal is to achieve an annual revenue of 1 trillion won by 2027 by expanding our services to not only large buildings currently offering premium services but also to small and medium-sized buildings.
Hyung Won-jun, CEO of the comprehensive real estate management corporation S&I Corporation, met with ChosunBiz on the 19th at the Gyeonggi-do Ilsan KINTEX, where the Space Innovation Fair '2025 Sand Week' is being held.
S&I, which started in 1975 as the building management department of Lucky Development (now GS Engineering and Construction), is making a significant leap following a change in its largest shareholder to Macquarie Asset Management in 2022.
Currently, it manages over 500 buildings and more than 21,000 retail stores. The company's revenue for 2023 was 785.3 billion won, and it aims to achieve 950 billion won this year.
CEO Hyung, who previously worked at Samsung Electronics and led SAP Korea, the world's largest enterprise resource planning company, as well as served as the Chief Digital Officer of Doosan Group, joined S&I in March 2022 and has been driving the company's growth.
S&I launched the 'SANDI' brand in 2023 to expand accessibility so that small and medium-sized companies can utilize its high-quality building management services, previously offered to LG Science Park, KB Kookmin Bank headquarters, and Kakao Eric Data Center. The services, previously provided in a comprehensive building management form, have been modularized.
It incorporates the latest technologies such as artificial intelligence (AI). AI closed-circuit television (CCTV), electric vehicle fire response solutions, remote control systems (RMS), and office life care apps (SANDI app) are examples of its efforts to digitize space management.
CEO Hyung highlighted 'SANDI Parking Lot' as a case demonstrating technological competitiveness in facility management. He noted, 'When there are issues such as license plate recognition errors in the parking lot that prevent vehicles from exiting, the AI CCTV detects this and alerts the 24-hour operation center, allowing for remote resolution or immediate dispatch of on-site personnel if necessary,' adding, 'We are providing all the advantages of existing labor-supply-oriented facility management companies and startups that operate solely with software.'
Among the parking lot solutions, the 'electric vehicle fire response solution' has garnered attention following a large fire incident involving electric vehicles at an apartment in Cheongna-dong, Incheon, which has become a headache for managers. The AI CCTV detects smoke from a fire within just 2 seconds, automatically sprinkling water under the fire vehicle and delaying the fire until firefighters arrive, minimizing the spread of damage.
'SANDI Property,' which offers all the services needed for asset management on a single platform, is expected to be a growth driver for S&I, which has primarily played the role of a 'butler.'
SANDI Property provides information on new construction near buildings, as well as information on new tenants and transaction data, analyzing market prices in surrounding commercial areas and determining appropriate rental prices for each floor based on data.
When meeting with building owners, they expressed that while they recognize S&I as a reliable butler, they are troubled by vacancies, asking, 'Can you help raise the building's value so we don't have to worry?' This request emphasizes the enhancement of real estate value. Asset management services are high in added value, so there's no reason not to do them.
S&I is expanding its presence in the commercial real estate market through rental management and interior remodeling. In fact, remodeling already accounts for nearly 20% of total sales (145.7 billion won, 2023).
S&I is also seeking to expand into overseas markets beyond the domestic market. Currently, it provides parking and security solutions for LG Energy Solution's factories in Poland and the United States, and CEO Hyung explained they are in the stage of verifying market potential through their AI CCTV partner, Senera, a U.S. Internet of Things company, for future global business expansion.
CEO Hyung stated, 'By complementing the service gaps that cannot be solved by technology with the existing personnel-based operational system, we will provide more precise and reliable facility management services by harmonizing technology and people,' and added, 'Building on 50 years of expertise, we will also actively pursue expansion into the commercial real estate business starting this year.'