Veteran Martial Arts vs Innovative Hanwha... 2 Trillion Won MICE 'Jamsil Duel'

Jamsil MICE Complex Space Development Project

Aerial view of the site for the Jamsil Sports and MICE complex private investment project

The ultra-large-scale development project with a total budget exceeding 2 trillion won, the "Seoul Jamsil Sports and MICE (Meetings, Incentives, Conferences, and Exhibitions) Complex Space Development Project (Jamsil MICE Project)," has become a contest between the Korea International Trade Association (KITA) consortium and the Hanwha Construction consortium. The KITA consortium, which leads with a variety of participating companies, boasts strengths in project stability and public interest, while the Hanwha Construction consortium, leveraging expertise in complex development projects, is recognized for its creativity in areas such as the metaverse (extended virtual world) and design.

According to industry sources on the 30th, both the KITA consortium and the Hanwha Construction consortium submitted their proposals for the second phase of the Jamsil MICE project to the Seoul Metropolitan Government the previous day. This project involves developing a complex facility on a 357,576㎡ site around Jamsil Sports Complex in Songpa-gu, Seoul, including a convention center three times the size of COEX, a baseball stadium, sports complex, swimming pool, water leisure facilities, hotels, and cultural, commercial, and office facilities. The total gross floor area of the buildings will be 880,000㎡, and the project cost will reach 2.1672 trillion won. It is a Build-Transfer-Operate (BTO) type revenue-generating private investment project, where the private sector bears the entire project cost and recovers the investment through 40 years of operation.

◇ KITA Leading with a Dream Team = KITA first proposed the Jamsil MICE complex space project to the Seoul Metropolitan Government in 2016 and is regarded as a pioneer in developing the domestic MICE industry. The composition and goals of the KITA consortium emphasize operational stability and public interest. KITA stated, "After the project proposal, we have conducted multifaceted reviews and simulations and have been promoting the project for five years." The consortium highlights its strengths in elevating the domestic exhibition and convention industry to an advanced level through COEX expansion, Trade Center operations, hosting the 2000 Asia-Europe Meeting (ASEM), and the 2010 G20 Summit.

The consortium's composition is also impressive. In the construction sector, Hyundai Engineering & Construction, GS Engineering & Construction, POSCO Engineering & Construction, Daewoo Engineering & Construction, Lotte Engineering & Construction, and SK Ecoplant are participating. In the financial sector, KB Group leads with NH Investment & Securities and Korea Investment & Securities also involved. The operators include CJ ENM, Interpark, Dreamus Company, Chosun Hotel, Lotte Hotel, Seohan Corporation, Shinsegae Property, and Lotte Shopping, making for a distinguished lineup.

◇ Hanwha Emphasizing Private Sector Creativity = The Hanwha consortium’s strategy is to combine expertise in complex development projects with private sector creativity.

The consortium is composed of Hanwha Group (39%) as the core, HDC Group (20%), Hana Financial Investment, and Shinhan Bank. Industry insiders expect high synergy from the consortium formed by Hanwha Construction and HDC Hyundai Development Company, both of which have strengths in complex development and private investment projects.

The consortium is attempting to differentiate itself from KITA by emphasizing innovative design and future technologies such as the metaverse. The plan is to implement a smart complex in Jamsil that integrates online and offline metaverse experiences, performances and exhibitions that transcend virtual and real worlds, an integrated platform connecting facilities organically, autonomous shuttles, and urban air mobility (UAM).

Design is also a key differentiator. Populous, a U.S.-based global No. 1 design and consulting firm in sports stadiums, arenas, and MICE fields, is participating in the consortium. Populous is the firm responsible for designing and renovating over 20 Major League Baseball stadiums, including the New York Yankees Stadium.