HJ Heavy Industries Tops Apartment Defect Rulings in the Past Six Months

HJ Heavy Industries was found to have received the highest number of defect rulings for apartment complexes and other multi-family housing units among construction companies over the past six months. According to the status of defect applications and processing by the Defect Review and Dispute Mediation Committee, released by the Ministry of Land, Infrastructure and Transport on October 20, HJ Heavy Industries received 154 cases (based on detailed defect count) from March to August this year. Jeil Construction followed with 135 cases, Sunyoung General Construction with 119 cases, Daewoo Engineering & Construction with 82 cases, and Hyewoo ENC with 71 cases.

When looking at the defect ruling rate based on total supply volume, Duson General Construction recorded the highest rate at 125%. Daou ANC had a rate of 73%, Hanyang General Construction 72%, Sunyoung General Construction 71%, and Myungdo General Construction 67%, indicating frequent defects among these companies.

Apartments in the Seocho and Yongsan areas as seen from Namsan, Seoul. Photo by Yonhap News

In terms of total defect cases over the past five years, GS Engineering & Construction topped the list with 1,413 cases, followed by Gyeryong Construction Industry with 605 cases, Daebang Construction with 503 cases, Daemyung General Construction with 346 cases, and SM Line with 323 cases. This ranking was the same as that announced in March this year. Regarding the defect ruling rate over the past five years, Jiwoo General Construction, Samdo General Construction, Jihyang General Construction, Hyeseong General Construction, and Baegun General Construction showed relatively high rates. Small and medium-sized companies with fewer than 300 households constructed over the past five years were concentrated at the top of the list.

This year, the Defect Review Committee processed a total of 3,118 cases as of August. The Ministry of Land, Infrastructure and Transport expects to handle about 4,500 cases by the end of the year, which would be similar to previous years. From 2020 to August this year, a total of 12,005 defect reviews were requested, and about 68% of these resulted in a final defect ruling.

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