Busan City-HUG Sign Business Agreement for 'Gudeok Sports Complex Redevelopment Project'

Mayor Park Hyung-jun and Yoo Byung-tae, President of Housing and Urban Guarantee Corporation, Attend

New Vitality for Gudeok Stadium Redevelopment Project, Solution for Urban Regeneration

On the 29th at 2:30 PM, Busan City signed a Memorandum of Understanding (MOU) with the Korea Housing & Urban Guarantee Corporation for the complex development of Gudeok Stadium at the International Protocol Room of City Hall.

Busan Mayor Park Hyung-jun and Yoo Byung-tae, President of the Housing and Urban Guarantee Corporation, signed a memorandum of understanding (MOU) for the complex development of Gudeok Stadium.

The signing ceremony was attended by Mayor Park Hyung-joon, President Yoo Byung-tae of the Korea Housing & Urban Guarantee Corporation, and others.

This MOU was prepared to actively promote the complex development of Gudeok Stadium after the site was selected as a candidate for the Ministry of Land, Infrastructure and Transport’s ‘Urban Regeneration Innovation District’ in December last year.

Since 2022, the plan to redevelop the Gudeok Stadium area through a private proposal project had been pursued, but faced difficulties due to interest rate hikes, raw material price increases, and a downturn in the construction market.

Accordingly, the city shifted the project promotion direction to utilize the Housing and Urban Fund loan project of the Korea Housing & Urban Guarantee Corporation (HUG) and the Ministry of Land, Infrastructure and Transport’s ‘Urban Regeneration Innovation District’ public contest project method.

If the site is finally designated as an Urban Regeneration Innovation District in the first half of this year, the city will secure up to 25 billion KRW in national funds and 25 billion KRW in city funds as project resources.

The city plans to minimize its financial burden by providing a significant portion of the project cost as an in-kind contribution (land) and later acquiring facilities such as a soccer-specific stadium and cultural and sports facilities as in-kind assets after project completion, enabling smooth project promotion.

After signing this agreement, the city will sequentially proceed with administrative procedures to finalize the development project plan, aiming to start construction in 2025.

The project plan will be established through resident public hearings and local council consultations regarding the ‘Urban Regeneration Activation and Innovation District (draft),’ and the implementation plan is expected to be approved in December.

Mayor Park Hyung-joon stated, “Through this agreement, we will inject new vitality into the redevelopment project of Gudeok Stadium and make it a focal point for urban regeneration in the original downtown area.” He added, “We will work with the Korea Housing & Urban Guarantee Corporation to successfully lead this project and become a catalyst presenting new solutions for the regeneration of Busan’s city center.”