Urban Renewal

Among the highest completion rates among Korea’s real estate trust companies

We have won 19 sites nationwide and completed 5, achieving one of the top completion rates among domestic trust companies.

"KORAMCO REITs & Trust delivered Korea’s first trust-type urban renewal project. After winning the Anyang Hogye–Seonggwang–Shilla integrated reconstruction in 2015, we achieved completion as Pyeongchon Daeseong Unid in 40 months from appointment as project agent.

Subsequent mandates—including Gaehwasan Station district (Seoul), Songnim-5 (Incheon), Mojong-1 (Asan), and Woojin Apartments (Incheon)—bring total wins to 19, with 5 completions. Given an industry average of ~14 years, completing 5 projects within 8 years evidences top-tier capability among 14 domestic trust companies."

Advantages of Trust-Type Urban Renewal

Leverages both financial and development strengths to advance projects from the residents’ perspective.

• Developer Advantages

  Financial Institution Advantages

• Professional management by specialized staff reduces project costs.

  Stable early-stage financing accelerates project timelines.

Competitive Edge in Urban Renewal

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  Dedicated teams enabling disciplined execution
  KORAMCO secures end-to-end expertise through a dedicated Urban Renewal Office and two subordinate Urban Renewal Teams. In addition, leveraging our legal, technical, and commercial support capabilities—together with capital strength—we professionally manage and operate project sites on behalf of reconstruction associations.

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  First-in-market track record establishing leadership
  In December 2015, KORAMCO—first among Korea’s trust companies—won the Anyang Hogye housing reconstruction mandate and successfully executed the full cycle from groundbreaking and sales to completion. More than a first case, it validated the trust-type urban renewal model and cemented KORAMCO’s position as a sector leader.

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  Expanded modalities and market leadership
  Building on the success of the Anyang Hogye project, KORAMCO has expanded beyond the agent-type model to include sole-developer mandates, small-scale residential reconstructions, and retail redevelopments. This expansion demonstrates our near-unique, end-to-end capability across the entire urban renewal value chain in Korea and underpins our reputation in the market as the most trusted partner.

Selected Projects

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  Urban environment renewal

  Shinmagok Byeoksan Blooming

  Scale : B2–F16, 298 units
  Location : Banghwa-dong, Gangseo-gu, Seoul

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  Urban environment renewal

  Songlim Pine&You

  Scale : B4–F22, 232 units
  Location : Dong-gu, Incheon

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  Redevelopment

  Mojong Geumo Eoullim i-First

  Scale : B2–F23, 463 units
  Location : Mojong-1, Asan, Chungnam

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  Reconstruction

  Seonggwang-Hogye Shilla Apts

  Scale : B2–F27, 203 units
  Location : Hogye-dong, Dongan-gu, Anyang

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  Reconstruction

  Woojin Apts, Juan-dong

  Scale : B2–F23, 386 units
  Location : Michuhol-gu, Incheon

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  Redevelopment

  Dobong District 2, Seoul

  Scale : B2–F18, 299 units
  Location : Dobong-dong, Seoul

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  Urban environment renewal

  Sajik District, Cheonan

  Scale : B2–F23, 765 units
  Location : Sajik-dong, Cheonan

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  Redevelopment

  Songwol Apts, Jung-gu

  Scale : B2–F38, 714 units
  Location : Songwol-dong, Incheon

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  Reconstruction

  Wooyoung Apts, Gyeyang-gu

  Scale : B2–F18, 339 units
  Location : Jakjeon-dong, Incheon

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  Redevelopment

  Songwol District, Jung-gu

  Scale : B4–F29, 671 units
  Location : Songwol-dong, Incheon

Risk Management

Comprehensive project control through structured risk management

"KORAMCO operates a differentiated mandate-origination and project-management system under a structured risk framework. Mandates are secured through meticulous reviews by the CEO-level Risk Management Committee, the Trust Business Deliberation Committee, and a dedicated Risk Management Team.

We work to meet the needs of all stakeholders—including trustors, contractors, senior beneficiaries, and unit purchasers—through specialized origination techniques and disciplined control processes. Our Legal Office, staffed with five in-house attorneys, manages legal risk in real time in collaboration with leading domestic law firms."

Positioning for Market Cycles

Selective Contracting and Diversified Project Portfolio

Rebalancing leveraged vs. completion-guarantee trusts

"A Leveraged Land Trust is a structure in which the trust company deploys its own equity into a development. While this entails greater risk for the trustee, fees are materially higher than for non-leveraged trusts.

By contrast, a Completion-Guarantee Land Trust is a product in which the trustee guarantees completion to the contractor; absent special circumstances, the trustee’s own capital is not deployed, enabling relatively more stable returns.

In response to recent real-estate market shifts, we have lowered the share of leveraged trusts and increased completion-guarantee mandates, thereby enhancing operational stability through a flexible rebalancing of the mix."

Diversifying mandate types (urban renewal, non-residential, etc.)

"Since entering the land-trust market, we have focused our capabilities primarily on residential assets such as apartments, officetels, urban lifestyle housing, and mixed-use residences.

However, to respond to shifts in the real estate market, we are diversifying beyond residential into urban-environment renewal, housing reconstruction and redevelopment, as well as knowledge-industry centers, golf courses, and serviced residences, thereby dispersing and managing risk across the portfolio."

Leveraged Land Trust

Officetel

Location : Ssangam-dong, Gwangsan-gu, Gwangju
Scale : B3–F20 / 6,716 m²

Completion-guarantee, management type

Retail

Location : Banghak-dong, Dobong-gu, Seoul
Scale : B5–F10 / 22,125 m²

Completion-guarantee, management type

Logistics Warehouse

Location : Jicheon-myeon, Chilgok-gun, Gyeongbuk
Scale : B1–F4 / 28,722 m²