Resumption of Construction for Suwon City Council New Building... Target Completion in Second Half of Next Year

The city of Suwon in Gyeonggi Province will resume construction of the new Suwon City Council building.

On the 6th, Suwon City announced that following the decision of the City Council Building TF Policy Promotion Team, formed together with the Suwon City Council in May, it will terminate the contract with the contractor who had halted the construction and select a new contractor to resume the work.

The construction of the City Council building was suspended after Donggwang Construction Co., Ltd., one of the joint contractors, entered corporate rehabilitation proceedings.

While Donggwang Construction Co., Ltd. abandoned the project, another joint contractor, Samheung Co., Ltd., unjustly demanded an extension of the construction period and an increase in construction costs without legal grounds and did not comply with the order to resume construction.

Suwon City Hall Exterior View

Suwon City decided to form the City Council Building TF Policy Promotion Team, terminate contracts with both contractors, and select a new contractor.

Samheung Co., Ltd. filed for a provisional injunction to suspend the effect of the contract termination, but the court recently dismissed it. The court recognized that Suwon City's contract termination request was justified.

Separately from this lawsuit, Suwon City has continuously proceeded with the settlement of construction costs and is preparing to select a new contractor aiming for completion in the second half of 2025. The current progress rate is 75%.

Suwon City plans to conduct a competitive bidding process after redesigning the project applying current unit prices to ensure appropriate profits for the contractor.

A Suwon City official emphasized, "The Suwon City Council building is a symbolic space representing the will of 1.25 million Suwon citizens, and its swift completion is necessary to strengthen communication and cooperation with the council." He added, "We express regret toward the contractor who irresponsibly halted construction and is responding with demands and lawsuits without legal grounds."