Shinsegae Property and Maxserve Establish Real Estate Asset Management Joint Venture SMPMC

Starfield Expands Real Estate Portfolio with Small and Medium-Sized Buildings... Increasing Need for Facility Management
"Maximizing Real Estate Value and Upgrading Real Estate Asset Management Services"

[Asia Economy Reporter Yuri Kim] Shinsegae Property announced on the 8th that it will establish a joint venture SMPMC with the facility management company Maxerve at the end of this month for efficient real estate asset management.

Shinsegae Property judged that professional personnel and experience are necessary for facility management and operation due to the expansion and diversification of real estate assets such as Starfield, and said it will establish an integrated real estate asset management solution company with the facility management company Maxerve. Through this, it plans to build and operate a more detailed and specialized real estate asset management system.

The joint venture SMPMC is an acronym of Shinsegaeproperty, Maxerve, Property, Management, Company, and will be established with Shinsegae Property and Maxerve each investing 50%. It specializes in PM among asset management (AM), property management (PM), and lease management (LM), which are areas of real estate operation management, and will perform the role of physical management of Shinsegae Property’s real estate centered on Starfield. It plans to carry out tasks such as building maintenance, operation, and energy management.

Shinsegae Property said, "Through the establishment of SMPMC, we have completed a comprehensive real estate value chain from development to operation and management as a developer," and "We expect differentiated asset management and customized advanced services for each facility to be realized."

Lim Young-rok, CEO of Shinsegae Property, said, "Not only many domestic real estate operators but also global large real estate companies such as Mori Building Company, which developed Roppongi Hills in Japan, and Japan’s largest developer MITSUI FUDOSAN CO LTD are establishing and operating asset management specialized companies (PMC)," adding, "Reflecting this trend, Shinsegae Property will have the asset management tasks, which were carried out sporadically, operated by a company with professional experience to maximize real estate value and upgrade services."

SMPMC is scheduled to start full-scale activities in early March after completing talent recruitment and corporate establishment licensing procedures.