Following consecutive collapse accidents... Woonam 3 Complex Union reviews contract termination with HDC Hyundai Development Company
Union Side Faces Growing Calls to Terminate Construction Contract
Allegations of Substandard Work, Cannot Continue Together
Gwangju City Orders Halt to All Construction Work
[Asia Economy Reporter Minji Lee] Following the collapse accident at the demolished building in Hakdong, Gwangju, HDC Hyundai Development Company, which caused the structural collapse accident at Hwajeong I-Park, is now facing the risk of contract termination at another project site in the Gwangju area.
According to the construction industry on the 12th, the reconstruction maintenance association of Unam 3 Complex in Buk-gu, Gwangju, reportedly called the main consortium contractors and notified them that they are considering terminating the construction contract. The Unam 3 Complex reconstruction project involves a consortium consisting of HDC Hyundai Development Company, GS Construction, and Hanwha Construction participating as contractors. Hyundai Development Company did not attend the meeting with the association on that day.
The association reportedly cited the high public opinion among association members for contract termination following the Hakdong disaster and the collapse accident at Hwajeong I-Park as the reason. Due to allegations of poor construction related to this collapse accident, the association members notified that they cannot continue the project together.
The association plans to hold a formal general meeting to proceed with the contract termination process if, after collecting opinions from the members, it is judged that the majority supports contract termination.
HDC Hyundai Development Company is currently carrying out construction as the contractor at four sites in Gwangju: the Hakdong 4 redevelopment project area where a collapse accident occurred during demolition in June last year, the recently collapsed Hwajeong I-Park mixed-use complex construction site in Seo-gu, Gwangju, the Gwangju Gyelim I-Park SK View apartments in Dong-gu, and the Unam 3 Complex in Gwangju.
The Unam 3 Complex in Gwangju is a reconstruction project won by the three companies Hyundai Development Company, GS Construction, and Hanwha Construction, consisting of a total of 3,214 households, with demolition now completed.
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Meanwhile, at around 3:46 p.m. on the 11th, a collapse accident occurred on the 39th floor of the Hwajeong I-Park construction site in Seo-gu, Gwangju, while pouring concrete, causing partial collapse of structures from the 23rd to 38th floors. One worker sustained minor injuries, and six workers remain missing. The Gwangju city government has ordered the suspension of all construction work at HDC Hyundai Development Company’s building and construction sites in Gwangju.
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