JYP Buys $56 Million Land, Expected To Build Biggest Headquarters Among K-Pop Agencies

JYP Entertainment — one of the big four entertainment agencies in South Korea — reportedly plans to expand its facilities to a bigger and better headquarters that cost about KRW 75.5 billion ($56 million).

On Tuesday, the agency revealed that it won a bid for a 10,675-meter-squared distribution and sales facility in Gangdong-gu, Seoul. The bid amounted to around 18.37% of total assets, per Xports News. This was an effort to construct a new office building, which could be the biggest headquarters among all agencies in South Korea.

Speaking of the acquisition, a representative of JYP told local media outlets, "We expect to increase work efficiency and productivity through securing physical space and expanding the integrated office building in accordance with mid- to long-term business expansion."

Founded in 1997 by Park Jin-young — who goes by the stage name J.Y. Park, the Seoul-based record label has made a name for itself by establishing several top K-Pop groups and idols in the industry, including Wonder Girls, 2PM, GOT7, TWICE, Stray Kids, Itzy and NMIXX, among others.

At first, JYP's headquarters were located in different areas of the country. But it was in 2018 that the company finally transferred into one building after purchasing KRW 20.2 billion ($15)-worth of land. The current facility has everything its artist needs, from a recording studio to a practice room — commonly seen by K-Pop fans on YouTube whenever K-Pop groups post their dance practice videos, including the iconic red background studio.

J.Y. Park has an estimated net worth of $250 million. Though he is no longer the CEO, he is still a major stakeholder and involved with the careers of the company's artists. Currently, JYP hit a market capitalization of KRW 3.78 trillion ($2.8 billion), making it the second-highest domestic entertainment industry.

The company also reached its highest quarterly performance yet, collecting consolidated sales of KRW 151.7 billion ($113 million) and operating profit of KRW 45.7 billion ($34 million). Its artists, such as TWICE and Stray Kids, have been actively touring across the globe.

TWICE's "Ready To Be" world tour is expected to conclude at the Allianz Parque in Sao Paulo, Brazil, on Feb. 6, 2024. Meanwhile, Stray Kids' "5-Star Dome Tour" will end this month with a two-night show on Oct. 28 to 29 at the Tokyo Dome in Japan.