Noise Escalates in 'Apgujeong 3 District' Reconstruction... Seoul City Takes Action

Order to Correct During Re-tendering of Designers... Referral for Investigation if Not Complied

The controversy over the selection of the design firm for 'Apgujeong 3 District,' a representative reconstruction complex in Gangnam-gu, Seoul, is escalating. Following the Seoul Metropolitan Government's accusation against Heerim Architects for violating the competition guidelines, the city has announced that if a re-competition is not conducted, it will also request an investigation into the association. Additionally, Haean Architects, which was eliminated from the competition, has filed a provisional injunction lawsuit against the association. The rapid progress of the Apgujeong 3 District reconstruction, which had gained momentum with the confirmation of Seoul's Rapid Integrated Planning Proposal, has now been halted.

According to the Seoul Metropolitan Government on the 27th, the Apgujeong 3 District association has received a total of 12 dispositions, including one investigation request from the city, seven investigation requests for failure to comply with corrective orders, one corrective order, and three administrative guidance notices. Earlier, when controversy arose over the design firm selection process for Apgujeong 3 District, the city conducted an inspection of the association's overall operation and administration, including the competition process.

The core of the current disposition is the corrective order demanding a re-competition for the design firm selection. For the association to enter into a contract, it must comply with the 'Standards for Handling Maintenance Project Contracts' announced by the Minister of Land, Infrastructure and Transport, Seoul City's 'Public Support Designer Selection Criteria,' and the competition operation standards and guidelines prepared and distributed by the association. The association violated these requirements.

The issue lies with the proposal submitted by Heerim Architects in the design competition for the Apgujeong 3 District reconstruction. Heerim Architects submitted a reconstruction plan without rental housing and with a floor area ratio (FAR) of 360% through eco-friendly incentives as their competition proposal. However, this conflicted with Seoul City's Rapid Integrated Maintenance Support Plan, which emphasizes a floor area ratio of 300% or less and social mix of rental housing. Seoul City opposed this, but Heerim Architects persuaded residents by arguing that applying incentives could raise the upper limit, and ultimately, they were selected as the design firm.

A Seoul city official stated, "The selection of a designer that violates related regulations is invalid, and the association must conduct a re-competition for the designer. If the association does not comply with the corrective demands, we plan to immediately request an investigation." Seoul City has already reported Heerim Architects to the police on charges of attempted fraud, obstruction of business, and bid-rigging for violating the architectural design competition guidelines.

Apgujeong Hyundai Apartment_Real Estate Reference Photo / Photo by Hyunmin Kim kimhyun81@

To make matters worse, Haean Architects, which was eliminated from the design firm selection, along with some association members, recently filed a lawsuit against the association to halt the selection and contract signing of the design firm. They applied to the Seoul Central District Court for a provisional injunction to suspend the effectiveness of the general meeting resolution regarding the design firm selection and delegation of contract signing to the representative council, thereby preventing subsequent procedures such as contract signing.

Experts believe that with the city, which holds the licensing authority, taking a tough stance, the follow-up procedures for Apgujeong 3 District, which had been gaining momentum with the announcement of the Rapid Integrated Planning, will face setbacks. A maintenance industry official said, "In promoting the Rapid Integrated Planning, Seoul City aims for public interest, while the association aims to maximize the value of the complex, so their goals differ. Similar conflicts are likely to arise more frequently in high-end complexes along the Han River in the future."

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