Park Hyung-seok, CEO of Mastern Investment Management, said that "Korea's property market is currently not in a simple cyclical correction but in a structural transition period."
According to Mastern on Wednesday, Park made the remarks at "PERE Network Seoul Forum 2026," a global real estate private equity fund conference held in Yeouido, Seoul, on Monday. "If the past cycle was centered on growth and leverage, this cycle will have selective investment, resilience, and capital preservation at its core," he said.
Park participated in the session "Investors' Outlook on Strategic Changes in Fund Investment Structures." The session discussed evolving global real estate investment structures and response strategies amid expanding macroeconomic volatility, interest rate uncertainty, and inflation concerns.
Regarding recent changes in the real estate investment environment, Park explained, "In the current market, several structural changes are proceeding simultaneously, including shifts in the funding environment following interest rate increases and changes in space demand driven by AI and digital transformation." He added, "Amid these changes, polarization based on competitiveness is becoming more pronounced both across assets and within the same asset class."
Park noted, "For example, in the office market, the spread of AI may act as a factor reducing required floor space in the short term, but technological innovation has consistently created new industries and space demand at the same time." He emphasized, "Ultimately, now is a time when which asset you choose matters more than which market you invest in."
