Osan Unamtteul AI City Urban Development Project Gains Momentum

Public Interest Review and Public-Private Partnership Agreements Passed in Succession
Promotion of Advanced Knowledge Center and Mixed-Use Development for Residential, Office, and Commercial Purposes

The 'Osan Unamtteul AI City' urban development project underway in the Osandong area of Osan-si, Gyeonggi Province, is gaining momentum again. Following the approval of the public-private partnership agreement on the 11th, the project is expected to accelerate as it recently passed the 'public interest review' by the Central Land Expropriation Committee, which had previously stalled progress.

Osan Unamtteul AI City is a large-scale urban development project to develop a complex district equipped with advanced knowledge centers, commercial, residential, and office facilities on a 584,123㎡ site around Osandong 166 near Osan IC on the Gyeongbu Expressway.

'Osan Unamtteul AI City' Urban Development Project Bird's-eye View. [Image Source=Osan City]

According to Osan City on the 30th, the project recently passed the 'public interest review' by the Central Land Expropriation Committee. During the meeting, the committee presented requirements to meet the public interest review criteria, including ▲strengthening the substantial role of the public sector ▲a concrete implementation plan to revitalize the 4th industrial ecosystem ▲measures to secure public interest ▲land compensation negotiations, and after deliberation, recognized the achievement of public interest objectives and urgency, thus passing the review.

Earlier, on the 11th, Gyeonggi Province approved the public-private partnership agreement for the project. With this approval, the Unamtteul urban development project overcame the risk of suspension and laid the groundwork for normal progress. The approval of the public-private partnership agreement follows the amendment of the Urban Development Act in December 2021, which strengthened urban development procedures. The amended law stipulated that projects that failed to designate urban development zones by the grace period ending June 2022 must restart the project from the initial stage, including re-bidding for project operators.

However, the passage of a law amendment last July, which postponed the enforcement of the law for three years, opened the way for project revival. With Gyeonggi Province's approval of the public-private partnership agreement, the project can proceed without re-bidding for operators if the urban development zone is designated within the grace period.

Lee Gwon-jae, Mayor of Osan City, said, "With the passage of this public interest review, we will successfully promote the Unamtteul AI City project to create jobs and make Osan City a hub for advanced industries."

The Unamtteul AI City is a large-scale project with a total investment of 727.7 billion KRW. The Osan Unamtteul Urban Development Project Finance Vehicle (PFV), established with 50.1% public and 49.9% private shares including Osan City, is in charge of implementation. Public sector participants include Osan City, Korea Rural Community Corporation, Pyeongtaek Urban Corporation, and Suwon Urban Corporation. Private sector participants include Hyundai Engineering, Korea Investment & Securities, Mirae Asset Securities, KR Industry, Saecheonyeon General Construction, ACEI, Eunsan ENC, and Eco & Smart.

With the passage of the public interest review, the project operator plans to designate the urban development zone and announce the urban development plan as early as the first half of this year, followed by land compensation and approval of the implementation plan, and to start site development construction within the year. The project method will be either use or expropriation.

Meanwhile, Unamtteul AI City is a prime location adjacent to Osan IC on the Gyeongbu Expressway. It boasts excellent accessibility as it is connected not only to the Gyeongbu Expressway but also to Dongbu-daero, which runs through major southern metropolitan areas. Opposite the site are Osan City Hall and the Unam District.

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