Real estate impact developer MGRV is starting a full-scale corporate private rental project at four locations in Seoul in partnership with Canada Pension Plan Investment Board (CPP Investments). This comes about three months after forming a joint venture for co-investment in January of this year.
MGRV plans to confirm new development projects totaling up to 1 trillion won in total project costs within this year, including this project, and will begin expanding its services.
The new project sites are located in the Dongdaemun, Seongdong, Yeongdeungpo, and Jung districts of Seoul. They will be developed with a combined size of approximately 1,500 units, providing excellent accessibility to business districts and universities, making them suitable for short- and long-term housing for 1-2 person university students, new professionals, and office workers.
The Yeongdeungpo location has been confirmed as MGRV's first rental dormitory. MGRV has been at the forefront of establishing the institutional framework for rental dormitories by obtaining a temporary permit for the regulatory sandbox for co-living development. The rental dormitory is set to start construction in the second half of this year, with three basement levels, 18 above-ground floors, a total floor area of approximately 15,000 square meters, and more than 400 units.
MGRV is providing co-living and workation services through six locations nationwide. In addition, it is working on six development projects in Seoul, including Eunpyeong Senior Housing, co-living locations, and youth housing near transit stations managed by Housing and Urban Guarantee Corporation (HUG). With the addition of the four projects being conducted in joint venture with the Canada Pension Fund, a pipeline capable of accommodating up to 5,500 people across a total of 16 locations has been established.
Jo Gang-tae, CEO of MGRV, noted, "We have confirmed investments amounting to about one-third of the joint venture with outstanding real estate development and operational capabilities," and added, "We are establishing a stable financial structure and a rapid decision-making system through 100% equity investment when acquiring land." He further stated, "We plan to quickly secure land and physical assets that can develop over 10,000 square meters in key areas of Seoul by the end of this year."