Harim "Yangjae Urban High-Tech Logistics Complex, Creating a Packaging Waste-Free Logistics System"

Harim Industrial Yangjae-dong Site Photo by Yonhap News

[Asia Economy Reporter Seungjin Lee] Harim Industry, which is promoting the Urban High-tech Logistics Complex development project in Yangjae-dong, Seoul, announced its six major vision plans.

On the 30th, at the ‘Discussion for Cooperative Development of Urban High-tech Logistics Complex’ hosted by the Seoul Metropolitan Council, Harim Industry emphasized practicing six major visions for the Urban High-tech Logistics Complex: ▲fundamental prevention of delivery waste generation ▲100% recycling of food waste ▲clean energy transportation ▲safe and comfortable workplaces for delivery workers ▲incubator for advanced convergence industries ▲bridge for win-win development between rural areas, cities, and small and medium enterprises.

At the discussion, Kim Giman, CEO of Harim Industry, said, “Since the site was previously used for a complex distribution center project, there are cases where it is misunderstood as a similar urban development project being promoted again. However, the Yangjae Urban High-tech Logistics Complex development project was first introduced with the enforcement of the Logistics Facilities Act in 2016 and is a public logistics distribution infrastructure project with no existing precedent, fundamentally different from general urban development projects.”

He added, “The Seoul city urban planning department has previously argued that the site already has a floor area ratio (FAR) standard of 400% or that public contributions are insufficient compared to the development scale. This is likely due to a mistaken fixed notion that the Urban High-tech Logistics Complex development project must be carried out within the framework of the existing National Land Planning Act. It denies the purpose and related regulations of the Logistics Facilities Act, which encourages development by collectively reviewing complex urban planning procedures such as district unit plan changes and providing incentives defined by law for floor area ratio and public contributions.”

In response, Shim Jaeuk, head of the Facility Planning Division at the Seoul Metropolitan Government’s Urban Planning Bureau, dismissed the claims, stating, “The Urban High-tech Logistics Complex development project places most of the logistics facilities, which should be the core in terms of form and content, underground, and allows mixed-use development such as sales and residential on the upper floors, making it practically no different from a general large-scale mixed-use development project in urban areas.”

CEO Kim countered, “Regarding the incentives defined by law, the Seoul city urban planning department presumes ‘there will be controversy over special favors’ or even uses figures including underground areas in the floor area ratio to frame it as overdevelopment, which is an unjustifiable act.”

Previously, Harim Industry and Seoul City have been at odds over the Urban High-tech Logistics Complex development project. In particular, Seoul City has continued to argue that the Urban High-tech Logistics Complex is a special favor concerning the floor area ratio. Seoul City pointed out, “Considering that the area is a habitual traffic congestion zone, it is managed under Seoul city planning with a floor area ratio of 400% or less. Nevertheless, Harim demands ultra-high-rise and ultra-high-density development that contradicts the existing Seoul city plan simply because the site was selected as a pilot Urban High-tech Logistics Complex under the Ministry of Land, Infrastructure and Transport’s comprehensive logistics facility development plan.”

Meanwhile, the conflict between Seoul City and Harim Industry over the development of the former Korea Cargo Terminal site has continued for five years. Earlier, Harim purchased a site of 94,949㎡ (about 28,000 pyeong) in 2016 and planned to build a 70-story building. In the same year, it was selected as a ‘pilot Urban High-tech Logistics Complex’ (Urban High-tech Complex) by the Ministry of Land, Infrastructure and Transport. However, Seoul City has maintained the position that the development standards applicable to the site must follow the city’s urban plan, and for five years, the project has not even broken ground.

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