Proposal for Underground Passage and Commercial Space Connected to Yongsan Station
Increased Foot Traffic Expected to Boost Asset Value
HDC Hyundai Development Company has announced a plan to connect the underground space of Yongsan Maintenance Depot Zone 1-Front Area directly with Yongsan Station, creating a "complex embracing Yongsan Station."
On May 9, HDC Hyundai Development Company stated that it proposed, in its bid for Zone 1-Front Area, to design an underground passage and commercial space connected to Yongsan Station, thereby securing an additional area of 19,300 square meters (approximately 5,843 pyeong).
The company highlighted its unique position as the only contractor capable of linking with Yongsan Station, leveraging its status as the developer of major projects in the Yongsan Station area. HDC Hyundai Development Company's headquarters is located in Yongsan I'Park Mall, and the company is also carrying out the development of the underground space in front of Yongsan Station and the redevelopment of the former Railroad Hospital site.
According to HDC Hyundai Development Company, the underground space connected to Yongsan Station will not be included in the floor area ratio, and the increased commercial unit sales revenue can reduce the financial burden on association members. Connecting directly to the station can increase offline foot traffic and help revitalize commercial facilities.
Although Yongsan Maintenance Depot Zone 1-Front Area is within a 15-minute walk of subway stations (Yongsan Station and Sinyongsan Station), it is not directly connected to the complex. A direct connection to the subway station would have a positive impact on both the residential environment and asset value for association members.
Among domestic redevelopment projects, Apgujeong Zone 3 is considered to have the best location and is currently working behind the scenes to relocate Exit 1 of Apgujeong Station and construct a connecting underground passage. The plan is to maximize the future value of the apartments after completion by connecting directly to the subway station.
HDC Hyundai Development Company has been preparing its bid for Yongsan Maintenance Depot Zone 1-Front Area with the development concept of "connection" at the forefront. The Seoul Metropolitan Government also recommends ensuring connectivity with Yongsan Station Plaza and surrounding areas as a guideline.
An industry insider explained, "Buildings directly connected to subway stations absorb foot traffic as it is, which creates clear differences in indicators of commercial district competitiveness, such as rental yield and vacancy rates."
The redevelopment of Yongsan Maintenance Depot Zone 1-Front Area involves constructing 777 apartment units and 894 officetel units, as well as retail, neighborhood living, and office facilities, in 12 buildings ranging from six underground to 38 above-ground floors at 40-641 Hangangno 3-ga, Yongsan-gu. The association will hold a joint briefing session at the end of this month and convene a general meeting in mid-June to select the final contractor.
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