Yangcheon-gu Joins Forces to Revitalize Local Businesses... District-Government-Landlord-Merchant Win-Win Agreement Signed

Tripartite Win-Win Agreement Signed Among Former Landlords and Merchants to Revitalize Commercial District and Prevent Gentrification for Mutual Development
Basic Plan for Commercial District Revitalization Established in September Last Year, 110 Alley-Type Stores Registered in Mokdong Rodeo Area
Expecting Revival of Declining Commercial District Through Various Future Public Projects and Close Cooperation System

Yangcheon-gu (Mayor Lee Gi-jae) announced on the 22nd that on the 21st, it signed a 'Win-Win Agreement for the Revitalization of the Commercial Area around Mokdong Station' with landlords and merchant representatives to establish a public-private cooperation system to revive the stagnant local commercial district.

This agreement was prepared to promote stable commercial area development by stabilizing rents and preventing gentrification (the displacement of original residents due to rising rents) through mutual business agreements among the district, landlords, and merchants.

The main agreement items include ▲ compliance with all provisions of the Lease Protection Act ▲ continuous mutual cooperation for commercial area revitalization and win-win development.

The commercial area around Mokdong Station, formed by Mokdong Rodeo Street and Sinjeong Jungang-ro Food Alley, has served as a representative commercial district of Yangcheon-gu since the completion of Subway Line 5 Mokdong Station in 1995, but recently has faced many difficulties due to the emergence of large supermarkets, changes in consumer behavior, and the impact of economic recession.

In response, the district has made multifaceted efforts to revitalize the stagnant commercial area. First, in September last year, it conducted a feasibility study to establish a basic plan for revitalizing the commercial area around Mokdong Station and drew up a mid- to long-term development master plan.

Subsequently, it established a cooperative system through sequential business agreements with related organizations including the merchants' association, public and private sectors, and academia, and also achieved the success of attracting youth stores within the Mokdong Rodeo commercial area.

Additionally, in September last year, 110 stores in the Mokdong Rodeo area were registered as a street-type shopping district where Onnuri gift certificates for traditional markets can be used, striving to improve customer accessibility and increase commercial sales.

A district official stated, “Recently, rents in the Mokdong Rodeo commercial area have fallen by more than 50% compared to before COVID-19, leading to an increasing trend of merchants wanting to start businesses in the area. Through the win-win agreement with landlords promoted this time, we expect that the area around Mokdong Station will once again regain its former vitality.”

The signing ceremony was attended by landlord representative Ko Yong-moon and merchants' association president Jang Young-min from Mokdong Rodeo, agreeing to promote sustainable commercial area development.

Lee Gi-jae, Mayor of Yangcheon-gu, said, “I hope this agreement will serve as a foundation to strengthen joint cooperative relationships not only among commercial area stakeholders but also with major local institutions,” and added, “We will continue to implement effective policies that breathe new life into the commercial area by pooling resources and capabilities of each cooperative party.”