The Ministry of Land, Infrastructure and Transport announced that it held a ceremony on the 26th in collaboration with the Korea REITs Association to celebrate the achievement of 100 trillion won in real estate investment trusts (REITs).
During the ceremony, an award ceremony for ten individuals who contributed to the achievement of 100 trillion won in REITs asset was held, along with the appointment ceremony for the REITs Advisory Committee.
Domestic REITs were introduced in 2001 with the enactment of the Real Estate Investment Company Act and, after 24 years, exceeded a total asset size of 100 trillion won in the second half of this year. Following the launch of listed REITs, the growth trend has intensified, leading to approximately a twofold increase in the REITs market size over the past five years.
By asset type, REITs assets consisted of 195 dwellings (49.4%·47.7 trillion won), 94 offices (23.8%·29.3 trillion won), 43 logistics (10.9%·7.6 trillion won), 37 others (9.3%·8.6 trillion won), and 26 retail (6.6%·7.5 trillion won), showing significant proportions.
The Ministry of Land, Infrastructure and Transport has also taken steps to support the revitalization of REITs, including announcing the establishment of the REITs Advisory Committee in September this year. The advisory committee consists of three subcommittees focused on systems, approvals, and supervision, with private experts from various fields such as law, finance, and real estate participating.
Minister Park Sang-woo noted, "Currently, domestic REITs are an industry that is expected to have more growth potential compared to major countries overseas," and added, "I will spare no policy support to achieve the vision of revitalizing the REITs market and advancing the real estate industry as outlined in the proposed plans for revitalizing REITs and improving the Project Financing (PF) system."