47 Major Construction Companies Nationwide Submit Letters of Intent to Participate in TK New Airport Project

Since March 25, Daegu City has been accepting letters of intent for participation in the project through the announcement of the ‘TK New Airport Construction and Former Site & Surrounding Area Development Project Plan and Private Participant Recruitment,’ and the submission period ended on the 5th.

The area of Gunwi County, Daegu City, where the TK New Airport will be built.

As a result of the submissions, a total of 47 companies, including 10 major construction firms that were expected to participate due to prior interest, submitted letters of intent, accelerating the progress of Korea’s first integrated private-military airport relocation project and the largest-ever donation and concession project.

Daegu City also stated that additional participation is possible for large construction companies that have not submitted letters of intent but are continuing internal discussions.

In fact, if a private consortium submits a project participation plan (proposal) and includes at least one company that submitted a letter of intent, companies that did not submit letters of intent can also participate in the consortium.

Going forward, Daegu City plans to actively support the formation of consortia involving multiple companies and their participation in the project through continuous consultations. The current working-level consultative body, which is mainly operated by public institutions, will be expanded and upgraded to include private experts such as Industrial Bank of Korea PF specialists and Daegu Bank financial practitioners.

After signing a business agreement last month with five major public institutions (Korea Land & Housing Corporation, Korea Airports Corporation, Daegu Urban Development Corporation, Daegu Transportation Corporation, Gyeongsangbuk-do Development Corporation) and eight major financial institutions (Industrial Bank of Korea, IBK, Kookmin Bank, Hana Bank, Shinhan Bank, Woori Bank, NongHyup Bank, Daegu Bank), Daegu City confirmed the intention of 47 construction companies to participate, explaining that the formation of the New Airport Construction SPC is proceeding smoothly.

Bird's-eye view of the Daegu-Gyeongbuk Integrated New Airport.

Mayor Hong Jun-pyo said, “The key to the new airport construction is speedy project promotion,” and added, “We will do our best to fully support the formation of private participants through the final stage of SPC formation by public recruitment, so that we can open a new sky route promising the prosperity of Daegu’s next 100 years as early as possible.”