[Asia Economy Reporter Park Hyungsoo] Hirim's stock price is on the rise. As remodeling demand increases in the domestic real estate market, major presidential candidates are also promoting policies to revitalize remodeling, which seems to be influencing the stock price with growing expectations.
As of 1:01 PM on the 8th, Hirim is trading at 9,960 KRW, up 7.68% from the previous day.
The remodeling clock is accelerating in aging apartments in the Gangnam area of Seoul and the first-generation new towns. Recently, in the Gangnam area, the remodeling safety inspection process has begun, speeding up the pace. With reconstruction regulations making remodeling a substitute project, the ruling and opposition presidential candidates' promises to activate the business are creating a favorable atmosphere.
According to the Korea Remodeling Association, as of the end of last year, there are 94 remodeling promotion complexes nationwide (69,085 households) that have completed the establishment of associations. This is an increase of 36 complexes (25,930 households) compared to 58 complexes (43,155 households) in 2020. The construction industry expects apartment remodeling orders to reach 19 trillion KRW this year.
Lee Jae-myung, the Democratic Party candidate, proposed a 'Remodeling Special Act.' His goal is to expand 'vertical extension,' which can secure the number of households without changing the floor plan. Yoon Seok-youl, the People Power Party candidate, announced plans to enact a 'First-generation New Town Special Act' to increase the floor area ratio in these areas.
Hirim's main businesses are architectural design, construction management (CM), and supervision. It ranks first in sales in the residential sector and has carried out numerous residential projects domestically and internationally. It is an architectural firm capable of handling all residential fields, including multi-family housing, mixed-use residential-commercial buildings, officetels, reconstruction, remodeling, single-family homes, and townhouses.
In particular, when ultra-high-rise, high-density housing supply through floor area ratio increases is promoted, design technology that ensures stability becomes important. Hirim has accumulated technical expertise through ultra-high-rise buildings, vertical extension remodeling, and seismic design. It has been responsible for numerous ultra-high-rise projects such as Landmark 72 Tower in Hanoi, Vietnam, Northeast Asia Trade Tower in Songdo, and The Sharp Lake Park in Cheongna. It also has experience designing various buildings applying seismic design in strong earthquake zones such as Azerbaijan and Iran. Recently, Hirim partnered with remodeling design specialist H1 Architects to win the design service contract for the integrated remodeling project of Daegu Metro Palace complexes 1, 2, 3, and 5.
Meanwhile, Hirim has been classified as a theme stock of candidate Yoon Seok-youl after being known as the largest sponsor of the Kobana Contents exhibition by Kim Geon-hee. Kim Geon-hee, Yoon's wife, is reported to mainly engage in volunteer activities such as caring for elderly living alone during the official election campaign period (2.15?3.8), without accompanying Yoon on his campaign schedule.
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