Seong Aryang, Seoul City Council Member, "Is the Seoul Transportation Corporation's Asset Sale Plan Effective?"

Sadang Station, Changdong Base Site, Sale Plan Announced Without Completing Consultations with Seoul City and SH Corporation... Yongsan 4 District Asset, a Prime Property, Pushed for Sale at a Low Price

[Asia Economy Reporter Jong-il Park] Song Aryang, Seoul City Council member (Dobong 4, Democratic Party), raised concerns about the effectiveness of the 'Seoul Transportation Corporation Management Innovation Promotion Plan,' which aims to improve financial soundness by raising a total of 800 billion KRW through asset sales, during the business report of the Seoul Transportation Corporation at the 301st regular meeting of the Seoul Metropolitan Council held on the 21st.

The Seoul Transportation Corporation announced that it plans to raise a total of 800 billion KRW by selling the site of Sadang Complex Transfer Center for 350 billion KRW, the site of Changdong Vehicle Depot for 400 billion KRW, and assets in Yongsan District 4 (one apartment and 49 office units) for 50 billion KRW this month.

However, according to Councilor Song Aryang, the site near Sadang Station was contributed in kind by the Seoul City in March 2016, and selling it again to Seoul City and SH Corporation is not reasonable and has not been agreed upon with Seoul City. The position of Seoul City’s Northeast Area Project, which demands free reversion of the Changdong Vehicle Depot site, differs from that of Seoul Transportation Corporation, which is pursuing a paid sale. Furthermore, regarding the assets in Yongsan District 4, although the board conditionally approved the sale in August last year, the value continues to rise, making the necessity of selling prime assets ambiguous.

Councilor Song Aryang said, “The asset sale plan proposed by Seoul Transportation Corporation has not been fully coordinated with related organizations such as Seoul City and SH Corporation, and the effectiveness is questionable as they plan to sell the Yongsan District 4 assets whose value is increasing.”

Meanwhile, he stated, “Everyone recognizes that solving the financial deterioration problem of Seoul Transportation Corporation is not an easy issue, and various revenue-increasing measures should be pursued simultaneously to overcome the difficulties.”

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