Dongbu Construction Participates in 3 Trillion Won Guri Hangang Riverside Urban Development Project

[Asia Economy Reporter Moon Jiwon] Dongbu Construction will participate in a Han River waterfront urban development project worth approximately 3 trillion KRW.

According to industry sources on the 25th, Guri Urban Corporation selected the KDB Industrial Bank consortium (Guri A.I. Platform City Development Project Group) as the preferred negotiation partner for the Guri Han River waterfront urban development project.

The KDB Industrial Bank consortium includes the Industrial Bank of Korea and Eugene Investment & Securities as financial institutions, and Dongbu Construction, Daewoo Construction, and POSCO Construction as construction companies. KT participated as the telecommunications company, and a total of 15 companies including Kakao Enterprise, Korea Land Trust, and Eugene Corporation participated as investors.

Guri Urban Corporation evaluated the consortia that participated in the public offering on the 5th. As a result, the GS Construction consortium was ranked first, the KDB Industrial Bank consortium second, and the Hoban Construction consortium third.

Since the GS Construction consortium was disqualified due to violation of the public offering guidelines, the next-ranked KDB Industrial Bank consortium was finally selected as the preferred negotiation partner.

The Guri Han River waterfront urban development project is a project to create a complex city by lifting the development restriction zone (greenbelt) along the Han River. It is being promoted over an area of 1.5 million square meters in the Topyeong and Sutaek-dong areas, with completion targeted for 2027.

A smart city reflecting the 4th Industrial Revolution, including artificial intelligence (AI), and Korea’s Digital New Deal policy will be constructed here.

The KDB Industrial Bank consortium is known to have proposed a total project cost of approximately 3.2 trillion KRW, including land compensation and various infrastructure costs for the smart city, as well as the establishment of 8,081 apartment units including public rental housing.

The smart city development considering the 4th Industrial Revolution aims to build the city itself as a platform-based system to provide smart services utilizing artificial intelligence and big data, in line with the purpose of the public offering.

Guri Urban Corporation will establish a Special Purpose Company (SPC) with Guri City and the KDB Industrial Bank consortium to promote the project. After administrative procedures such as lifting the development restriction zone, construction is expected to begin as early as 2024.