Multi-Asset Asset Management Completes PF for 170 Billion KRW Balsan Station Youth Housing Development Project

Balsan Station Youth Housing (Photo by Multi Asset Management)

[Asia Economy Reporter Hwang Yoon-joo] Multi-Asset Asset Management recently completed approximately KRW 170 billion in main project financing (PF) related to the development project of youth housing near Balsan Station.

The Balsan Station youth housing project is being implemented by the "Multi-Asset Balsan Station Youth Housing Specialized Private Real Estate Investment Company," established by Multi-Asset Asset Management. It is a rental housing project with a total project cost of about KRW 220 billion and 716 units.

Located just a 3-minute walk from Balsan Station on Line 5, it offers easy access to Yeouido and Gwanghwamun, and is also adjacent to the Magok district, making it likely to have high rental demand from office workers. The rental housing is scheduled for completion around May 2025, and it will be operated as rental housing during the mandatory rental period of 10 years after completion.

Since starting with the Hapjeong Station Hyosung Harrington Tower youth housing in 2016, Multi-Asset Asset Management has been promoting youth housing projects near stations such as Deungchon Station Center Square and the Sillim Line Seoul National University Venture Town Station. This project is the fourth rental housing project operated by Multi-Asset Asset Management, which currently manages a cumulative rental housing asset size of about KRW 800 billion and is promoting rental projects with a total of over 2,500 units.

Youth housing near stations refers to rental housing for young generations located in transit-oriented areas with good transportation access, where rent is set at 95% or less of the surrounding market price to help alleviate housing difficulties for Seoul's youth.

In fact, the Hapjeong Hyosung Harrington Tower and Deungchon Center Square, which are currently operated as rental housing by Multi-Asset Asset Management, have received positive responses from young tenants since move-in began, with vacancy rates close to 0%, indicating active operation.

In response to this market situation, Multi-Asset Asset Management is steadily investing in new rental housing projects using a KRW 100 billion scale blind fund.

Meanwhile, Multi-Asset Asset Management is exploring REITs business to expand into various businesses including listed REITs, including projects previously promoted, and is discovering operational opportunities for distinctive alternative assets domestically and internationally as a specialized alternative investment manager of Mirae Asset Group.

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