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Seoul has launched a pilot that turns closed police boxes into small properties that citizens can buy in shares. City officials announced initiative, saying the sites will be renovated for shops or services and offered through a regulated fractional model, according to Chosun Biz. The plan aims to activate idle corners, create new rent income, and widen access to real estate for small investors.
The financing aligns with Korea’s market shift. The Korea Exchange prepares listings for fractional products from late September, while the Financial Services Commission outlined rules in February to license platforms and protect investors. Together, these steps clear a path for Seoul to package former police boxes as fractional assets once sites and operators are selected.
Fractional investment lets many people buy small parts of one asset and share income or gains. Korea tested this under a sandbox for years, then moved to permanent rules. Supporters say it lowers entry costs and brings transparency. But officials still warn that investors must understand fees, lock‑ups, and risks from vacancy or poor management.
“We will overcome challenges through deregulation and transparent governance,” said Oh Se‑hoon, Mayor of Seoul. He has pushed policies that reuse idle spaces and draw private capital to city upgrades. The police‑box pilot fits that approach by turning underused civic spots into active street‑level places.
Police boxes were consolidated in the 2000s, and some sites later sat empty. Converting them into small, legal businesses could brighten corners, support local jobs, and provide a simple, visible asset for first‑time investors. If demand is strong and rules work well, the city could add more sites after the trial phase.
