In the Era of Prolonged Zero Interest Rates... Attention Focused on 'Gwangmyeong G Tower'

- Surge in Income-Generating Real Estate Transactions Amid Prolonged Zero Interest Rates... Increasing Demand for Prime Income-Generating Complexes
- 'Gwangmyeong G Tower' Knowledge Industry Center and Commercial Facilities Highlighted as Prime Income-Generating Real Estate

The Bank of Korea has once again kept the base interest rate at 0.5% following last month, marking a prolonged phase of the zero interest rate era. As it becomes difficult to earn profits through bank interest, more investors are turning their attention to real estate investments.

Meanwhile, government regulations focused on the apartment and housing markets are drawing investors' attention toward income-generating real estate, which is noteworthy. In fact, income-generating real estate has seen relatively lighter regulations, attracting demand and liquidity, resulting in a significant increase in transaction volume.

According to the Ministry of Land, Infrastructure and Transport, the transaction volume of commercial and office real estate in June reached 26,050 cases, a 33.47% increase compared to the previous month (19,517 cases). Although transactions sharply declined earlier this year due to the economic downturn caused by the COVID-19 pandemic, they rebounded after the announcement of the June 17 real estate policy. With this rebound, the total transaction volume of commercial and office real estate in the first half of this year was 140,432 cases, an increase of 8,975 cases compared to the same period last year (131,457 cases).

Moreover, income-generating real estate continues to soar in the real estate market. In particular, knowledge industry centers, which are gaining attention as new investment products with tax benefits, are highly popular. The first quarter of this year recorded the highest number of approvals ever for knowledge industry centers, and newly supplied complexes in areas like Munjeong-dong and Gasan-dong in Seoul have been selling out daily.

The popularity of commercial facilities is also notable. In May, the commercial facilities within the 'Hillstate Cheongnyangni The First' complex, sold in Jeonnong-dong, Dongdaemun-gu, Seoul, were sold out within half a day. Similarly, 'Hillstate Cheongnyangni Station' commercial complex 'Hillstate Avenue Cheongnyangni Station,' supplied through the development of Miju Shopping Mall B Building by Hyundai Construction, also completed all contracts in a short period.

An industry insider said, “With the prolonged low-interest-rate era and government real estate regulations focusing on apartments, liquidity in the market is flowing into the income-generating real estate market. Given the current government's stance, continuous regulations on the apartment market are expected, increasing the likelihood that demand and liquidity will concentrate more on income-generating real estate.”

Amid this, in the Gwangmyeong Sohaji District, known as the gateway to the southwestern metropolitan area, 'Gwangmyeong G Tower,' developed by Gwangmyeong Hanabion and constructed by the Lotte Construction consortium, is simultaneously offering knowledge industry centers and commercial facilities, attracting significant interest from investors seeking prime income-generating real estate.

Gwangmyeong G Tower is a knowledge industry center developed by Gwangmyeong Hanabion and constructed by the Lotte Construction consortium. It will be built with approximately 156,412㎡ of total floor area, spanning from four basement levels to 15 floors above ground. Commercial facilities named 'G Seven Square' will be included from the second basement to the second floor. It is the first and last knowledge industry center to be supplied in the Gwangmyeong Sohaji District in over ten years and will be developed as a complex knowledge and cultural center integrating business, culture, leisure, and medical facilities.

The complex applies a corporate-friendly and employee welfare-focused interior design. From the fourth basement to the fifth floor, a drive-in system is introduced to allow logistics unloading directly in front of each unit, and ample parking spaces are planned to minimize inconvenience for logistics-related businesses requiring vehicles. Additionally, outdoor rest areas for employees are arranged on each floor (except some floors), and dormitories are configured as separate buildings to reduce commuting time for employees of tenant companies and to separate work and living spaces.

Furthermore, the complex will include various cultural and leisure spaces alongside office areas. This will create a more pleasant environment by establishing the complex as a mixed-use knowledge and cultural tower integrating business, culture, leisure, and medical facilities, maximizing work-life balance for employees of tenant companies.

In fact, the commercial facility 'G Seven Square,' developed alongside the complex, has confirmed the entry of various cultural, leisure, and medical facilities. First, Megabox, a multiplex cinema, has confirmed its entry on the first and second basement levels. It will be the first multiplex cinema in the Gwangmyeong Sohaji District, consisting of six theaters with a total of 980 seats.

Additionally, a health screening center linked with Chung-Ang University Medical Center has been confirmed. The health screening center will cover an area of 5,160㎡. The complex plans to attract primary care clinics of various specialties in connection with this, forming a large-scale medical commercial district representing the Gwangmyeong Sohaji District.

Moreover, a large bowling alley, the first in the Gwangmyeong Sohaji District, is planned for the second basement level. On the first basement and first floors, kid-focused facilities such as a daycare center and children's library are confirmed, providing diverse spaces for families with children.

As such, Gwangmyeong G Tower, gaining attention as a prime income-generating real estate, is currently operating a sales promotion center. The sales promotion center is located at 510-5 Iljik-dong, Gwangmyeong-si, Gyeonggi-do.