POSCO E&C, Full Effort in Yeouido Hanyang Apartment Reconstruction Bidding War

by Roh Kyungjo

Published 21 Mar.2024 15:35(KST)

POSCO E&C announced on the 21st that it is making every effort to secure the construction rights for the reconstruction project of Hanyang Apartment in Yeouido, Seoul.

Perspective rendering of the reconstruction of Hanyang Apartment in Yeouido, Seoul by POSCO E&C / Image courtesy of POSCO E&C

The existing 588-unit Hanyang Apartment in Yeouido will be reborn as a 56-story building with 992 units through reconstruction. KB Real Estate Trust, the project operator, plans to hold a general meeting at the Yeouido Hana Securities Building on the 23rd to select the construction company.

POSCO E&C emphasized that it proposed a special alternative design unique to its high-end residential brand 'Otier' and fully reflected the permits and approvals required by the Seoul City New Town Planning Maintenance Plan, enabling rapid project advancement. It also added that to prevent recent issues such as construction cost conflicts and work stoppages, it submitted a signed contract consistent with the project proposal submitted during the bidding process.

They also proposed a condition where sales proceeds are paid to the owners first, and construction costs are received after repaying the project loan to the bank. The total construction cost was proposed at 702 billion KRW, or 7.98 million KRW per 3.3㎡, and the total project cost of 1 trillion KRW will be fully financed.

Jeon Jung-sun, President of POSCO E&C, said, "The success of Yeouido Hanyang Apartment is the success of Otier, so we are putting all our efforts into it and plan to concentrate the company's capabilities."

Meanwhile, POSCO E&C, which recorded orders worth 4.5988 trillion KRW last year, has secured orders exceeding 2 trillion KRW this year from projects such as the Busan Promotion 2-1 District redevelopment and Geumjeong Station Sanbon 1-dong redevelopment.