Union Officially Switches from Competitive Bidding to Private Contract
1.7 Trillion KRW Redevelopment... Prime Location with Flat Land and Panoramic Han River Views
Targeting Union Members with Acro Brand and Customized Design
DL E&C's bid for the redevelopment of Hannam 5 District has entered the 'final countdown.' With the union officially announcing the switch to a private contract, only the step of being designated as the construction company remains.
According to the maintenance industry on the 2nd, the Hannam 5 District redevelopment union issued a 'construction company selection bidding notice for private contract' the day before. In the two competitive bids for selecting the construction company, only DL E&C participated, resulting in a failed bid. Subsequently, a union president election was held in February, where among the four candidates, the only one who did not pledge competitive bidding was elected as the new union president. This led to remarks that the switch to a private contract was just a 'matter of time.' The union will accept bids until the 15th and hold a general meeting for construction company selection on May 31. Companies that participated in the site briefing will be granted bidding eligibility.
DL E&C is expected to participate in this private contract bidding as well. An industry insider said, "DL E&C has continuously increased contact points with union members, establishing itself as the sole participant," adding, "It seems the union is effectively aiming to conclude the private contract process with DL E&C." DL E&C has put considerable effort into securing the Hannam 5 District project over a long period. Following last year's site briefing, they have recently conducted promotional activities targeting union members, highlighting their high-end brand 'Acro.' The 'customized design plan,' featuring high ceilings and maximized views of the Han River, has received favorable reviews.
Hannam 5 District is a massive redevelopment project in Dongbinggo-dong, Yongsan-gu, Seoul, consisting of 51 apartment buildings ranging from six basement floors to 23 above-ground floors, totaling 2,592 households. The total construction cost is approximately 1.7583 trillion KRW. This surpasses the 4th District, the largest project within the existing Hannam New Town, which has 2,331 households and a construction cost of 1.5723 trillion KRW. The union has proposed a construction cost of 9.16 million KRW per 3.3㎡. Hannam 5 District is regarded as having the largest flat land area and the widest Han River view within Hannam New Town. The planned establishment of Dongbinggo Station on the Shinbundang Line is expected to improve future transportation conditions.
Announcement of Private Contract for Hannam 5 District. Hannam 5 District Redevelopment Association Website.
The Hannam 5 District redevelopment union plans to approve the project implementation plan at the upcoming construction company selection general meeting and apply for project implementation approval in June. They aim to complete the selection of the construction company and project implementation approval within the year, proceed with the sale application and management disposition plan approval next year, and officially start the redevelopment project with groundbreaking scheduled for the second half of 2027.
If DL E&C is finally selected as the construction company, it will become the fourth construction firm to enter Hannam New Town. Previously, Daewoo Construction secured the construction rights for Hannam 2 District, Hyundai Construction for the 3rd District, and Samsung C&T for the 4th District.
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