POSCO E&C Leads Solo Bid for Noryangjin 1 District Redevelopment with 'OTIER'

POSCO E&C announced on the 15th that it has submitted a sole bid for the redevelopment project of Noryangjin 1 District in Dongjak-gu, Seoul, spearheaded by its high-end apartment brand 'Otier.'

Redevelopment master plan of Noryangjin 1 District, Dongjak-gu, Seoul / Image provided by the association

Noryangjin 1 District boasts the largest scale within Noryangjin New Town. The complex will consist of 28 buildings ranging from 4 basement floors to 33 above-ground floors, with a total of 2,992 residential units, and the total construction cost will reach 1.09 trillion KRW. It is close to Noryangjin Station on subway lines 1 and 9, offering excellent access to Yeouido, Yongsan, and Gangnam.

Although major construction companies have shown great interest, the first bidding for the contractor selection was canceled last November, leading to the closing of the second bidding this month. POSCO E&C was the only company to submit a bid deposit. POSCO E&C explained that it judged the project feasible by lowering company profits to meet the construction cost proposed by the association.

The Noryangjin 1 District redevelopment association set the project conditions as a construction cost of 7.3 million KRW per 3.3㎡, association interest-bearing project costs, a 50-50 repayment of construction costs, 90% payment of association members' contributions upon move-in, and a one-year grace period for construction cost inflation. Other construction companies reportedly gave up bidding, considering the construction cost too low.

POSCO E&C plans to apply the Otier brand to Noryangjin 1 District. This brand has been applied to POSCO E&C construction complexes such as the Shinbanpo 21st reconstruction in Seocho-gu and the Bangbae Shindonga reconstruction.

A POSCO E&C official said, "We submitted the bid after thorough preparation to provide maximum benefits to the association members," adding, "We will create a landmark complex representing Noryangjin with the highest quality apartments befitting the Otier prestige."

With POSCO E&C submitting a sole bid, the association can either proceed with a private contract after a vote or push for a re-bid.

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