Over 1,000 Stores in Gangdong-gu Reduce Rent

392 Kind Landlords Join! Rent-Reduced Stores Reach 1,083... Supporting the Spread of the Kind Rent Movement Through Government and City/District Incentive Promotion

[Asia Economy Reporter Jongil Park] Gangdong-gu (District Mayor Lee Jeong-hoon) has launched a large-scale 'Rent Reduction Campaign' focusing on traditional markets and alleyway commercial districts, resulting in over 1,083 stores receiving rent reductions.

Over the past two weeks, to support small business owners affected by COVID-19, the district sought landlords willing to participate in the 'Rent Reduction Campaign.' As of April 2, 392 landlords have joined, and 1,083 store merchants are expected to benefit from rent discounts.

This outcome was achieved by many landlords owning a small number of rental stores participating, demonstrating the enthusiasm of 'Gangdong-style Good Landlords,' which is particularly encouraging. Many small-scale landlords often feel burdened by financial costs, and there were concerns that promoting 'Good Landlords' might be perceived as pressure or coercion.

Gangdong-gu's good landlords have one of the highest participation rates in rent reduction campaigns among Seoul's autonomous districts for small-scale rental business owners.

Due to the area's characteristics without large-scale industrial or commercial facilities, Gangdong-gu has 24,811 micro-enterprises operated by fewer than five people (based on the 2018 Basic Business Statistics Survey), accounting for 83.4% of all businesses (29,772). Among these, major affected industries such as wholesale and retail, lodging, and food services number 5,795, representing 19.5%.

Moreover, tenants make up 96.1% of all merchants in Gangdong-gu's traditional markets, which are considered the core of the local economy.

Accordingly, the district actively empathized with the necessity of the 'Rent Reduction Campaign' and devoted efforts to a large-scale promotional campaign, discovering incentives for landlords to participate, and devising practical measures to support small business owners.

The government offers tax credit benefits covering half of the reduced rent amount to private landlords who lower rents, and Seoul City supports building maintenance costs and electrical safety inspections for commercial buildings.

Separately, the district plans to additionally support rent-reducing landlords who share the burden and provide hope and inspiration by supplying quarantine supplies such as masks and subsidies for installing solar power facilities.

Furthermore, the district will link the special support measures for small business owners with the good landlord discovery project and continue to seek customized plans to minimize damage to micro-merchants.

A small business owner living in Amsa-dong who received a rent reduction said, "Before I could even say I was struggling, they kindly told me they would reduce the rent. I am so grateful. I truly appreciate that they share the tenant's pain and care during these difficult times."

Lee Jeong-hoon, Mayor of Gangdong-gu, expressed gratitude, saying, "The warm hearts of those participating in the rent reduction campaign will be a great strength in overcoming the COVID-19 crisis. The district will also actively promote local economic revitalization measures so that small business owners can overcome worsening business conditions."

Gangdong-gu is making every effort to actively promote and discover participants for the 'Rent Reduction Campaign' to alleviate the pain of small business owners. Landlords wishing to join can contact the Job Creation and Market Support Team of Gangdong-gu.

This content was produced with the assistance of AI translation services.