Amid a prolonged economic slowdown and rising startup costs, newly built commercial facilities that require no key money are emerging as an alternative for prospective business owners.

According to the Korea Real Estate Board, 54.64 percent of commercial properties nationwide carried key money obligations as of 2025. Among the Greater Seoul area, Gyeonggi Province had the highest rate at 69.65 percent, followed by Incheon at 56.6 percent and Seoul at 54.85 percent.

The average key money payment in Gyeonggi Province stood at 37.59 million won ($24,800), the second highest in the country after Seoul. Key money remains one of the biggest upfront cost burdens for new business owners and continues to affect the pace of self-employment entry.

Data from the Ministry of Statistics show that the number of self-employed workers in South Korea reached 5.62 million last year, accounting for about 19.5 percent of the total employed population. Of those, 4.187 million — roughly 75 percent — operated without any hired staff.

Industry officials say newly built commercial facilities with no key money requirement are drawing attention because they allow entrepreneurs to reduce initial startup costs.

Against this backdrop, Suwon Ipark City West Avenue, a new retail complex in Gwonseon-dong, Gwonseon-gu, Suwon, Gyeonggi Province, is now recruiting tenants.

Suwon Ipark City West Avenue is a commercial facility within the Suwon Ipark City complexes 11 and 12 — officetel developments spanning one below-ground floor and two above-ground floors, with a total floor area of approximately 37,000 square meters. The complex offers a total of 176 units — 85 in complex 11 and 91 in complex 12.

The supplier directly manages both operations and leasing, with a range of businesses including cafes and restaurants already open.

The complex sits near Gyeongsugdaero and the Jangdari Stream walking path, with a built-in customer base drawn from roughly 7,000 households in the Suwon Ipark City residential community. Nearby lifestyle amenities include elementary, middle and high schools, Seryu Station, NC department store and E-mart's Suwon branch.

Meanwhile, Suwon Ipark City West Avenue is currently accepting tenant applications and offering consultations on leasing and retail operations.


kim3956@heraldcorp.com