[Inside Chodong] CJ LiveCity Falters, Shaking the Foundations of the Goyang Tourism and Culture Complex

Let's take a professional baseball game as an example. From the start, the game lost its momentum due to the umpire's poor management. The pitcher rarely threw strikes, issuing numerous walks, and was replaced several times. The batting lineup only produced ground balls, and even the trusted cleanup hitter repeatedly swung and missed. In short, it was a total disaster. Eventually, the spectators watching this boring game left early.

A similar situation is unfolding in a national project: the Goyang Tourism and Culture Complex development project. In 2005, the government aimed to create a competitive, future-oriented tourism complex by expanding world-class hotels and tourism infrastructure here. However, the project has mostly been at a standstill.

Although 995,000㎡ (300,000 pyeong) of land was developed and sold to operators by zone, most of the land has been left idle. Only the land sold for single-family homes and neighborhood living facilities has been developed, while the crucial tourism facilities, hotels, and other business support facilities have not been developed.

In response, Gyeonggi Province announced in 2015 that 326,400㎡ of the Goyang Tourism and Culture Complex site would be developed into the ‘K-Culture Valley’ to revitalize the project. Through a public contest, CJ Group participated, and the name ‘CJ LiveCity’ was born. CJ Group planned to invest a total of 1.8 trillion won in the CJ LiveCity project to build a K-pop specialized arena and construct supporting facilities and hotels around it.

However, after three changes to the project plan and delays in permits and approvals from Gyeonggi Province, the project was delayed. Construction only began in October 2021, but even that was halted in April this year with a progress rate of about 17%. This was due to accumulated deficits at the developer and recent sharp increases in material costs. The originally scheduled completion date of May next year is now uncertain.

Ultimately, CJ LiveCity recently requested the public-private joint construction investment project (PF) adjustment committee for ‘an extension of the project period and exemption from delay penalties,’ ‘termination of the business agreement for some project sites,’ and ‘changes to the land use plan.’ Initially, CJ LiveCity had purchased land not only for the arena and performance facilities but also for hotels and commercial facilities.

As the core project of the Goyang Tourism and Culture Complex, CJ LiveCity’s development is faltering, and with the adjustment request underway, companies that purchased land for nearby lodging facilities (SM Steel and Hallyu World Hotel) are pushing for a change of use to build officetels.

The problem is that the Goyang Tourism and Culture Complex absolutely needs lodging facilities such as hotels, not officetels. The nearby Kintex, the leading exhibition center in the metropolitan area, also lacks lodging facilities, forcing visitors to find accommodations in Seoul or Gimpo after attending exhibitions.

When Gyeonggi Province initially established the development plan for the Goyang Tourism and Culture Complex, the top priority was to create lodging facilities for tourists visiting CJ LiveCity and Kintex. According to the district unit plan announced in 2020, lodging land within the complex was planned to cover seven blocks totaling 98,100㎡, with 4,010 rooms. However, since the announcement of the complex’s development in 2005, the only lodging facility built here is Sono Calm Goyang.

Goyang City, which has the large exhibition center Kintex and is developing CJ LiveCity, clearly possesses superior cultural tourism products compared to other local governments. However, if it fails to properly develop supporting facilities such as hotels and thus cannot attract visitors and tourists, there could be no more foolish administration.

Recently, the construction industry has been struggling, and many developers are having a hard time. Nevertheless, the government’s long-prepared urban planning should not be shaken for their convenience. We hope the PF adjustment committee will make wise decisions on what is necessary for the development of the Goyang Tourism and Culture Complex and to what extent the companies’ demands should be accommodated.

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