[Edaily Reporter Oh Hee-na ] “Until now, we’ve been renovating individual vacant homes, but now we’re building entire villages. Our goal is to create spaces where entrepreneurs can live and work, and where tourists can visit and stay—and to foster a new local economy within those spaces.”
“Dazayo,” which gained attention for transforming old, vacant houses in Jeju into charming accommodations, is now taking on a village-wide revitalization project. The company plans to move beyond its current business model—renovating vacant houses and renting them to tourists—to introduce a regional revitalization model that combines entrepreneurship, housing, and tourism. The strategy involves attracting “fan-based” tourists with accommodations designed to reflect the tastes of celebrities, such as actors and singers, and linking that tourism to local consumption and new business ventures within the village.
Nam Seong-jun (pictured), CEO of Dazayo, said in a recent interview, “We started with vacant homes, but we don’t intend to stop there,” adding, “We will grow into a company that plans and operates spaces where people want to stay.”

◇“Revitalizing Not Just One Vacant House, but the Entire Village”
The Josuri Project in Jeju, led by Dazayo, is a project to revitalize 10 of the 15 vacant homes within a designated priority renovation zone for vacant homes. The project will consist of two startup spaces, two residential units for relocating entrepreneurs, and six lodging facilities. The company plans to open five units in 2027, followed by the remaining five in 2028.
The startup spaces will feature an office-style café where business operations can be conducted and corporate addresses registered, as well as a communal facility combining a laundromat and a small public bathhouse. In collaboration with the Korea Startup Forum, the project will select entrepreneurs to reside in the village, and the lodging facilities will be utilized not only for short- and long-term tourist stays but also as corporate welfare facilities.
The key is that each space is connected to form a single economic ecosystem. The demand for laundry services generated by the accommodations boosts revenue for the village’s laundromat, while companies needing a base in Jeju can utilize the office-style cafes. The project is designed so that tourists do not merely stay at the accommodations but also spend money within the village.
The strategy for attracting tourists is also unique. Actor Ryu Seung-ryong and singer-actress Kwon Yu-ri, among others, are participating in the planning of the accommodations, infusing their personal tastes into the spaces. This is part of the “K-Culture Stay” concept, which aims to channel celebrity fan bases into local tourism demand. CEO Nam said, “If a house reflects the tastes of an actor or singer they admire, people will gladly travel a long way just to stay there,” adding, “We will create a village where the reason to stay and the place to stay go hand in hand.”
The method of securing project funding has also changed. Previously, Dazayo directly invested funds to renovate vacant homes, but in Josuri, the spaces are developed using funds provided by the government, local authorities, and the private sector, while Dazayo handles the planning and operations.
Dazayo’s focus on accommodations created in collaboration with celebrities stems from their proven operational success. “Hacheonbaramjip Angeori,” which Ryu Seung-ryong helped plan, is among the higher-priced Dazayo properties but has recorded an occupancy rate higher than the overall average for three consecutive years since 2023. In 2024, its occupancy rate was 76%, 13 percentage points higher than the overall average (63%).
The response from international tourists has also been positive. The number of foreign-language reviews posted on Airbnb this year has already surpassed twice last year’s total. The property has received favorable reviews for preserving the atmosphere of a traditional Jeju house while offering modern amenities.
CEO Nam emphasized, “The comment foreign guests make most often is, ‘It’s an old house, but it’s comfortable,’” adding, “To revitalize regional tourism, we must improve accessibility while also creating a reason for visitors to travel long distances and providing spaces where they can stay comfortably.”
◇ Revitalizing Vacant Homes Stymied by Regulations… A Breakthrough Through Outsourced Management
Dazayo’s beginnings were not rooted in any grand regional revitalization plan. CEO Nam, a native of Jeju, worked in the restaurant industry in Seoul for 10 years before returning to his hometown to launch a lodging platform business in 2015.
However, as platform development was delayed and funds ran out, he shifted course to building and operating accommodations himself. Lacking even the funds to purchase or rent a house, he persuaded homeowners to lend him their vacant homes free of charge for 10 years. The model involved Dazayo remodeling the properties to operate them as lodging facilities and returning them to the owners once the contract period ended.
Although the business garnered attention for its innovative model, regulations held it back. Stymied by regulations governing rural homestays, the company suspended operations in May 2019. Although it received a regulatory sandbox pilot exemption in September 2020, restrictions followed—including the fact that the exemption did not apply retroactively to existing accommodations. The first property did not reopen until January 2022, meaning the company went without accommodation revenue for two years and eight months.
CEO Nam pointed out, “The company grew old while waiting for the regulations to change,” adding, “It’s a system where companies that helped change the rules through pilot programs end up on the same starting line as latecomers once the law is actually enacted.”
Compounded by rising construction costs, Dazayo is shifting its business model from direct investment to space planning and managed operations. Currently, the company operates nine houses in Jeju, offering 11 bookable accommodation units. Operating losses, which exceeded 1 billion won in 2022, have been reduced to around 230 million won in 2025.
Going forward, the company plans to expand its space planning, outsourced management, and brand licensing businesses. It is collaborating with companies such as LG Electronics and Ilum to utilize accommodations as product experience spaces, and is also preparing a commerce business that allows guests to experience products from local producers at the accommodations and make purchases. Additionally, the company is pursuing a business that provides Internet of Things (IoT)-based accommodation management technology to small and medium-sized lodging facilities as a subscription service.
In particular, he is proposing the introduction of a “Regulatory Pilot Performance Reward System,” which would reimburse companies for a portion of the costs they incurred during the regulatory pilot phase once the system is institutionalized. He argues that the current structure—where companies bear the burden of pilot testing but the government reaps the benefits upon institutionalization—needs to be changed.
CEO Nam stated, “We started with vacant homes, but we don’t intend to stop there. As long as it’s a space where people want to stay, it doesn’t have to be a traditional lodging facility,” he emphasized, adding, “What matters is the kind of experience people can have there.” He went on to express his ambition, stating, “In Josuri, we will create a case study that goes beyond transforming a single house to revitalizing an entire village, and we will present a successful model for regional revitalization through outsourced management, brand royalty strategies, and ‘K-Culture Stay’ programs featuring actors and singers.”