A South Korean firm is working to establish a private equity real estate fund to build a commercial "officetel" building inside the Gaeseong Industrial Complex in North Korea.

An officetel offers residential spaces which also provide amenities normally associated with an office.

Asset management firm MyAsset says it's soliciting funding for the establishment of an 18-billion won fund, which will offer an eleven percent annual return on investment. Eighteen billion won is about 16-million dollars.

A consulting service provider for North Korean projects, Gyeoresarang, purchased land from the Korea Land Corporation on which the officetel will be built. Construction will begin as early as next month and is scheduled to be completed by 2010.

A MyAsset official said the company is currently meeting with investors to discuss the project's feasibility. He added that specifics of the project could change according to investors' concerns.