'My business is gone': Seoul’s low-cost study spaces spark backlash from cafe owners
Students study at Mapo Naru Space, a public learning facility in Seoul’s Mapo District, on April 20. Korea Times photo by Kwon Jeong-hyun
Small businesses at risk of closure as more customers head to public study spaces
As midterm exam season approaches for students at all levels in South Korea, Mapo Naru Space, a public study space for students in Seoul’s Mapo District, was crowded with students on Monday evening.
Even as the clock ticked past 9 p.m., only three of its 114 seats were available.
“Cafes are often too noisy, and study cafes — quiet, laptop-friendly spaces that serve coffee — are not cost-effective unless you go there every day,” said Lee, a 22-year-old college student.
“This place is very affordable and well-maintained, which is why I come here every exam season.”
About a five-minute walk down the street, that same air of quiet intensity that marks exam season was absent at a private study cafe. Twenty-seven of its 70 seats — nearly 40 percent — were empty.
Jo, the 63-year-old owner, said sales have fallen sharply since Mapo Naru Space opened in the neighborhood two years ago.
“I took over the business after being told monthly net profit would be around 8 million won ($5,400), but these days there is barely any profit at all,” Jo said.
He said he had decided to shut down the business and put the property on the market last month.
Jo’s case is one example of a growing conflict between private business owners and local governments as more districts open publicly run study spaces. While many residents welcome the chance to use such facilities at a low cost, small business owners who operate private study cafes say they are being pushed to the brink of business closure.
With the two effectively serving the same customer base, the chances of coexistence are proving slim, turning the issue into a broader question of priorities: welfare for residents or protection for small business owners.
A visitor enters Mapo Naru Space, a public learning facility in Seoul’s Mapo District, on April 20. Korea Times photo by Kwon Jeong-hyun
According to the Mapo District Office, it currently operates nine public study spaces across neighborhoods including Yeonnam, Hapjeong and Gongdeok-dong.
The fee is 500 won (about $0.35) per day for users under 25 and 5,000 won for all others. Compared with the monthly fees charged by private study cafes, which range from 150,000 won to 200,000 won, the cost is roughly one-tenth as much.
The district plans to expand the number of spaces to 20 by the end of next year. Explaining the rationale behind the project, a Mapo district official said its goal is to provide teenagers with a safe place to study, adding that education is a public good.
Data showed that 158,772 people used Mapo’s public study facilities last year. Of this number. 135,251 were under 25, accounting for 85 percent of total users.
Shin, an 18-year-old high school student, said he used to go to private study cafes until his parents recommended that he try public study spaces. The low fee is the biggest advantage, he added.
A user satisfaction survey reflected that view. The survey, conducted among 115 users in the second half of the year, found that 93 percent of respondents were satisfied with the facilities, while 96.5 percent said they were willing to continue using the public spaces.
“The facility is a bit far from my home, but its low cost and the fact that I can use my laptop without a time limit are major advantages,” said Kim Gyu-won, 24, a resident of Seoul’s Seodaemun District.
A screen shows that 27 seats remain available at a study cafe in Seoul’s Mapo District on April 20. Korea Times photo by Kwon Jeong-hyun
Beneath the positive public response, however, local commercial areas are quietly feeling the impact of low-cost public study spaces. Jang, 60, who had operated a study cafe since 2022, said he was taken aback when requests for pass refunds surged at the end of 2024. He later discovered that a new public study space had opened nearby.
He continued to lose customers and his sales eventually halved, pushing him to close his business last July.
“I’m still repaying the debt I took out to open the study cafe,” Jang said with visible anger. “I pay taxes as a district resident, and those very taxes were used to destroy my business.”
Experts note that when public services move into areas previously led by private businesses, policymakers should consider the impact on small business owners, who are especially vulnerable to changes in the business environment.
“When public sector provide service at a much cheaper price than private entities, it could ultimately lead to small business closures and create a vicious cycle that undermines the broader local economy,” said Choi Ho-taek, a public administration professor at Pai Chai University.
“Rather than building new facilities and effectively spending tax money twice, authorities need to design policies that promote coexistence, such as support for existing businesses, vouchers for residents or outsourcing to private operators.”
This article from the Hankook Ilbo, the sister publication of The Korea Times, is translated by a generative AI system and edited by The Korea Times.