Incheon Cheongna Medical Complex Town Project Bidding... Five-Way Competition Including Seoul Asan, Inha University, Cha Hospital, and Others

Selection of Preferred Negotiator in July, Signing of Business Agreement in December
Establishment of 500-Bed General Hospital and Medical Bio Industry-Academia-Research Facilities

Location map of Cheongna Medical Complex Town [Provided by Incheon Free Economic Zone Authority]

[Asia Economy Reporter Park Hyesook] Five hospital consortia have entered the bidding for the Cheongna Medical Complex Town project in the Incheon Free Economic Zone.

According to the Incheon Free Economic Zone Authority on the 29th, as of the deadline for submissions the previous day, the following consortia have applied: the Cha Hospital and Meritz Fire & Marine Insurance consortium, the Seoul Asan Medical Center and KT&G Hana Bank consortium, the Inha University International Hospital consortium, the Soonchunhyang University Bucheon Hospital and Korea Investment & Securities consortium, and the Semyung Christian Hospital and Hanseong Foundation consortium.

Accordingly, the Incheon Free Economic Zone Authority plans to evaluate the business proposals from each consortium next month, select a preferred negotiator in July, and sign the project agreement in December.

The Cheongna Medical Complex Town will be developed on a 261,635㎡ site in 1 Cheongna-dong, Seo-gu, Incheon, a Free Economic Zone, and will include a general hospital with over 500 beds, medical bio-related industry-academia-research facilities, office facilities, and retail facilities.

The general hospital is planned to open in two phases: initially with over 300 beds in phase one, and expanding to over 500 beds in phase two.

Considering its proximity to Incheon International Airport, the Incheon Free Economic Zone Authority envisions focusing on fostering the high value-added medical tourism industry to develop the complex into one of Asia’s premier medical complex towns, comparable to Singapore Biopolis and Dubai Healthcare City.

Previously, this project was unsuccessful in its first bidding round in March last year, as no companies submitted proposals.

The Incheon Free Economic Zone Authority has revised the schedule for the project agreement, taking into account the large scale of the Cheongna Medical Complex Town project and experiences from negotiation periods of other projects in the Incheon Free Economic Zone. The new schedule requires the establishment of an SPC within 10 days from the signing of the project agreement, and the project agreement to be signed within 120 days (with a possible 30-day extension) from the selection of the preferred negotiator.

Originally, the schedule required SPC establishment within 60 days and project agreement signing within 90 days from the selection of the preferred negotiator.

To reduce the financial burden of installing medical facilities, the Incheon Free Economic Zone Authority will supply land for support facilities (30%) at about 60% of the appraised value, and mandates that the resulting development profits be reinvested into industrial facility land and general hospitals.

Additionally, 3,000 officetel units for employees of the medical complex town are permitted, and 700 units of ‘meditel’?a lifestyle accommodation combining hotels and hospitals?are allowed, but these lifestyle accommodations are restricted to rental use only.

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