Competition for Shinbanpo 21st Reconstruction Contract: GS Construction vs. POSCO Construction Face Off

Shinbanpo 21st Complex Rendering (Photo: Seoul City Clean-up System)

[Asia Economy Reporter Yuri Kim] GS Construction and POSCO Construction will compete in the bidding for the reconstruction project of Shinbanpo 21st Complex in Jamwon-dong, Seocho-gu, Seoul.

According to the maintenance industry on the 13th, two companies, GS Construction and POSCO Construction, participated in the re-selection bidding for the construction company of the Shinbanpo 21st Complex reconstruction project, which closed on the same day. Construction companies that had previously shown interest in winning the bid, such as Samsung C&T, Lotte Construction, Daelim Industrial, Hyundai Development Company, and Daewoo Construction, ultimately did not participate.

The Shinbanpo 21st Complex will be reconstructed from the existing two buildings with 108 households into two buildings with 275 households, ranging from 4 basement floors to 20 above-ground floors.

Previously, the association conducted a bidding for the selection of a construction company in December last year, but no construction companies participated. The companies judged that the construction cost proposed by the association at that time (5.6 million KRW per 3.3㎡, totaling 85 billion KRW) was low and the project was not highly profitable. Accordingly, the association raised the construction cost to 6.7 million KRW per 3.3㎡, totaling 102 billion KRW, and proceeded with the re-selection of the construction company.

Industry insiders expect fierce competition for the bid as the project is located in a prime area in Gangnam, despite its relatively small scale. The complex is near Banpo Station on Line 7 and close to the Gyeongbu Expressway Jamwon IC. It is also highly regarded for its excellent elementary, middle, and high school districts.

This content was produced with the assistance of AI translation services.