February Nationwide Factory and Warehouse Transactions Total 972.9 Billion Won, Falling Short of 1 Trillion Due to Lack of Major Deals

317 Transactions Nationwide
No Major Deals Concluded
Reduced Reliance on Large-Scale Transactions

In February, the nationwide transaction volume for factories and warehouses recorded approximately 970 billion won, falling short of the 1 trillion won mark. The decrease in monthly transaction volume is attributed to the absence of large-scale deals worth more than 100 billion won.

According to L Square Analytics, the analytics division of the commercial real estate services company L Square, which analyzed transaction data from the Ministry of Land, Infrastructure, and Transport, the total nationwide transaction volume for factories and warehouses in February reached 972.9 billion won, with 317 transactions recorded. Both the transaction volume and number of transactions decreased compared to the previous month (1.4526 trillion won and 368 transactions).

This decline in transaction value was due to the lack of large-scale transactions exceeding 100 billion won. In January, the 'Arenas Yeongjong Logistics Center' in Incheon was sold for 432 billion won, driving the monthly volume up to 1.4526 trillion won. However, in February, no comparable deals were concluded.

By transaction size, most deals in February ranged from 40 billion to 70 billion won. The largest transaction was Koramco Asset Management's purchase of the 'Logis Point Hobeop B Logistics Center' in Icheon, Gyeonggi Province, for 79 billion won. This was followed by the 77 billion won transaction for the Pungsan-dong Logistics Center in Hanam and the sale of a factory in Daedeok-gu, Daejeon by Robert Bosch Korea for 40 billion won.

Factory and warehouse transactions nationwide in February showed little price variation between deals and did not depend heavily on any single transaction. Analysts note that the factory and warehouse market temporarily shifted from being driven by large-scale deals to focusing on small- and medium-sized transactions.

The L Square Research Center commented, "February can be interpreted as a month with reduced reliance on large-scale deals. While investment demand for high-quality factory and warehouse assets remains strong, the transaction volume is likely to continue fluctuating depending on the nature of individual deals."

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