LH Introduces 'Construction Responsibility-Type Ordering Method' for Seongnam Bokjeong 1 and 2 Construction Projects

[Asia Economy Reporter Moon Jiwon] Korea Land and Housing Corporation (LH) announced on the 21st that it will introduce the Construction Management with Contractor Responsibility (hereinafter referred to as CM with Contractor Responsibility) procurement method for the Seongnam Bokjeong 1·2 Public Housing District Development Project and will issue a notice for selecting a contractor.

The CM with Contractor Responsibility method is a system in which the construction company participates from the design stage, reflecting construction know-how, and performs responsible construction within the construction cost ceiling agreed upon in advance with the client.

Through collaboration among the client, construction company, and design firm, the completeness of the design can be improved, and efficiency in construction management such as cost reduction and shortening of construction period can be enhanced.

Since the pilot project started in 2017, LH has applied the CM with Contractor Responsibility method mainly to building construction, and in August last year, it was first introduced in the Namyangju Jinjeop 2 Development Project. This year, in addition to the Seongnam Bokjeong 1·2 project, it plans to expand its application to the Uiwang Wolam, Gyeongsan Daeim, Daegu Yeonho, and Guri Galmae Station Area Development Projects.

The Seongnam Bokjeong 1·2 District Development Project to be procured this time is a project to develop a public housing district with an area of 660,000㎡ in Bokjeong-dong and Changgok-dong, Sujeong-gu, Seongnam City. The project cost amounts to approximately 59.3 billion KRW.

The process will proceed in order with the submission of pre-qualification (PQ) documents by the 8th of next month and the submission of bids by June 26. To assist companies wishing to participate, LH plans to hold a site briefing session at 2 p.m. on the 22nd of next month at the LH Gyeonggi Regional Headquarters.

Han Byunghong, Head of LH Smart City Headquarters, said, "Starting with the Seongnam Bokjeong 1·2 Public Housing District Development Project, we plan to continuously expand the CM with Contractor Responsibility procurement method. Through this, we will promote improved design completeness and early commencement of construction, and do our best to achieve revolutionary improvements in construction quality, safety, and overall progress management."

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