COVID-19’s Impact On Korea Real Estate
We expect negative impacts on the Korean economy and commercial real estate markets due to the COVID-19 outbreak.
- COVID-19 may result in a near-term hit to leasing demand in the Seoul office market at a time when new supply is due to rise. This creates an opportunity for tenants to seek space for relocation or expansion on favorable terms.
- Corporates should implement telecommuting and work from home policies.
- We expect the hotel industry to be sluggish due to COVID19. However, the office sector should continue to attract investors’ attention with abundant liquidity and low interest rates.
- Industrialists should focus on integrated logistics and distribution facilities.