Bid Closing... Two-Way Contest Confirmed
Raemian Glowhills Hannam vs The H Han River
Collaboration with Foreign Architectural Firms... Emphasizing Premium Design
Bid Difference of 84 Billion Won... Industry Also Attentive to Outcome
Samsung C&T and Hyundai Engineering & Construction, ranked first and second respectively in construction capability evaluations, are competing for the construction rights of the Hannam 4 District redevelopment in Yongsan-gu, Seoul, for the first time in 15 years. The competition is so intense that the union banned individual promotional activities before the main bidding to prevent overheating. This contest is also seen as a precursor to large-scale redevelopment projects such as Apgujeong, signaling fierce competition ahead.
'Spiral Patent Design' Raemian Glowhills Hannam vs. 'All Units with Han River View' The H Han River
According to the Hannam 4 District redevelopment union on the 19th, Samsung C&T and Hyundai Engineering & Construction participated in the main bidding that closed the previous day. Both companies reportedly submitted thick bid proposals equivalent to about five volumes of books along with their bid applications. The union plans to compare the proposals and prepare materials to share with union members by early next month. A general meeting of union members will be held on January 18 next year to make the final selection of the construction company.
Perspective view of 'The H Han River' proposed by Hyundai Engineering & Construction. (Provided by Hyundai Engineering & Construction)
Hyundai Engineering & Construction proposed the complex name 'The H Han River.' They emphasized high-end branding and unity by linking it with 'The H Hannam,' the project for which they already secured construction rights in the adjacent Hannam 3 District. Samsung C&T proposed 'Raemian Glowhills Hannam.' Samsung C&T, which has a single apartment brand, emphasizes differentiation by adding a pet name reflecting the project's characteristics to the existing brand.
The design conditions are also groundbreaking. Hyundai Engineering & Construction collaborated with the global architectural firm Zaha Hadid Architects for the first time in Korea to design the apartments. Instead of the conventional linear design, they proposed a curved design to symbolize the waves of the Han River and the ridgeline of Namsan. The number of buildings was reduced from 51 to 29 to minimize interference between units, and all units are designed to enjoy views of the Han River, Namsan, and Yongsan Park. They proposed terrace-specialized floor plans for 1,318 medium- to large-sized units. The design also includes a 300-meter double sky bridge, the longest along the Han River.
Samsung C&T collaborated with the globally renowned design firm UNStudio to design the apartments. Four buildings positioned along the Han River feature a spiral-structured circular main building design, creating a landmark tower that appears to rotate floor by floor. This design is the first in redevelopment projects to file a patent for the exterior. They also proposed 100% Han River views for union members. The community facilities are designed on a scale of 12,000 pyeong, six times the size of Seoul City Hall Plaza. A sky community will be created at the highest point in Hannam New Town, allowing residents to fully enjoy views of the Han River, Namsan, and Yongsan Park.
Will the 48 Billion Won Bid Difference Decide the Outcome? Also Seen as a Precursor to Future Large-Scale Redevelopment Projects
The total project cost proposed by the Hannam 4 District union is 1.5723 trillion won. However, both Samsung C&T and Hyundai Engineering & Construction submitted bids lower than this amount. According to the Korea ON-line E-Procurement System (KONEPS), Samsung C&T bid 1.569529032 trillion won, and Hyundai Engineering & Construction bid 1.48551127 trillion won, a difference of about 84 billion won. An industry insider said, "Submitting bids lower than the union's proposed construction cost shows their strong desire to win the contract," but added, "Construction costs tend to increase during the building process, so the actual amount will likely differ."
As the two top contenders officially face off for the first time in 15 years, the construction industry is closely watching the outcome of this bidding war. The last time Samsung C&T and Hyundai Engineering & Construction competed for construction rights was in 2009 at the Dodang 1-1 District redevelopment in Bucheon, where Hyundai Engineering & Construction won. In Seoul, the last competition was the 2007 reconstruction of Jeonggeum Village in Dongjak-gu, also won by Hyundai Engineering & Construction, which led to the construction of 'Isu Hillstate.'
Whoever wins the Hannam 4 District contract is expected to influence the landscape of future large-scale redevelopment construction rights competitions. Samsung C&T and Hyundai Engineering & Construction are also expected to fiercely compete for the construction rights of the Apgujeong apartment reconstruction.
Meanwhile, the Hannam 4 District redevelopment project involves building a large complex of 51 buildings with 2,331 households, ranging from seven basement floors to 22 above-ground floors, in the 360 area of Bogwang-dong, Yongsan-gu, Seoul. Of these, 350 units are public rental housing, and 1,981 units will be supplied for general sale.
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