[From Jeonbang to The Hyundai in Gwangju] From the Heart of the Textile Industry to a Mixed-Use Mall Site (Part 1)

About 90,000 Pyeong of Factory Land to Be Transformed into a Mixed-Use Shopping Mall
International Design Competition and Public Contribution Negotiations Underway
Conditional Approval Granted, Construction Set to Begin in the Second Half of This Year

"I feel both anticipation and anxiety at the thought of this place coming back to life."

This was the cautious remark made on July 1 by a resident living near the former Jeonnam Textile site in Imdong, Bukgu, Gwangju. As the long-rumored development plan?often dismissed as mere hearsay?finally begins to materialize, residents are experiencing a mix of hope and hesitation.

This site began as a textile factory established by Japan's Kanebo in 1935. After liberation, it changed hands and became home to Jeonbang Co., Ltd. and Ilsin Textile, serving as a driving force behind Gwangju's industrialization for a time. However, with the decline of the textile industry and the aging of the factories, Jeonbang halted production in 2017 and Ilsin Textile followed in 2019. Since then, the 90,000-pyeong (approximately 310,000 square meters) site has remained silent, but is now poised for a new chapter as a mixed-use shopping mall.

The remaining chimney of the old Ilsin Textile factory within the planned site of The Hyundai Gwangju. Photo by Song Bohyun

In the summer of 2022, Hyundai Department Store Group officially announced plans to develop a mixed-use shopping mall on the former Jeonbang and Ilsin Textile sites. The group aimed to use the success of 'The Hyundai Seoul' as a model and expand it as a Gwangju-specific project. At the time, Gwangju was the only metropolitan city without a Hyundai Department Store, making it a strategic location for the group's expansion.

In March 2023, the city of Gwangju held an international design competition to further define the project. The winning entry was 'City for All' by Danish architecture firm Urban Agency. The design emphasized sustainability, featuring a 15-minute city concept, a green circulation network, and the creation of a historical and cultural park.

In November of the same year, a plan for recouping development gains was established. The city and the developer agreed that out of a total of 589.9 billion won in public contributions, 300 billion won would be provided in cash, while the remainder would be offered in kind, such as land for roads, parks, and schools.

Site of 'The Hyundai Gwangju' in Imdong, Bukgu, Gwangju. Photo by Song Bohyun

In 2024, the project gained significant momentum. Hyundai Department Store established a local corporation, 'The Hyundai Gwangju,' investing 30 billion won initially and increasing its total investment to 60 billion won with an additional payment in March. The architectural design was entrusted to the world-renowned Swiss firm Herzog & de Meuron, with a total floor area of 273,895 square meters?1.5 times larger than 'The Hyundai Seoul.' In addition to the shopping mall, the complex will include an urban hotel, a cinema, and cultural facilities. In December, the Gwangju City Urban Planning and Architecture Joint Committee conditionally approved the district unit plan, moving the administrative process forward.

In February this year, the developer completed the final land payment and secured ownership. A plan for a mixed-use residential complex with 4,328 units was submitted concurrently and is being pursued alongside the mall project. The final administrative procedures for the mixed-use mall are underway, with construction scheduled to begin in the second half of the year.

During this process, the traffic impact assessment was delayed. The city advocated for a public transportation and pedestrian-oriented policy, while Bukgu District Office called for road expansion and integration with nearby redevelopment projects, resulting in differing positions. After two rounds of revisions, conditional approval was granted in June, with requirements including the donation of access roads, coordination of bridge installation timing, and measures to manage vehicle entry and exit volumes.

Prohibition of Entry Notice Attached to the Exterior Wall of 'The Hyundai Gwangju' Construction Site. Photo by Song Bohyun

The city of Gwangju and Hyundai plan to begin construction in the second half of this year, aiming to open by late 2027 or early 2028. A Hyundai Department Store representative stated, "We are preparing to proceed with construction as scheduled in the second half of the year so that we can open by early 2028."

An assessment of the impact on local commercial districts is also underway. According to an interim report in May, out of approximately 30 million annual visitors, about 19 million are expected to also use surrounding commercial areas. While sectors such as restaurants, home appliances, and fashion are expected to see increased sales, concerns have been raised about potential losses in cosmetics, confectionery, and coffee sectors.

Mixed reactions are evident on the ground. A small business owner running a cafe nearby said, "The Hyundai will increase foot traffic, but customers may be dispersed, which could actually reduce sales. We need practical support, such as a coexistence fund."

An industry insider commented, "While this change gives consumers more choices, competition within the same living area puts a burden on small business owners." The Gwangju Employers Federation suggested, "The Hyundai Gwangju could have a positive effect on the local economy, so public and private sectors should work together to ensure that small and medium-sized enterprises and partner companies can grow alongside it."