APEC Summit to Be Held in Late October to Early November
Accommodation Issues Emerge Ahead of Leaders' Meeting
Government Considers Ulsan and Cruise Ship Lodging in Addition to Gyeongju
APEC Task Force Pursues MOU with Lotte Hotel
Efforts Underway to Improve Service Quality and Train Accommodation Staff
The hotel and resort industry is bustling with activity as it prepares for the 2025 Asia-Pacific Economic Cooperation (APEC) Summit, which will be held for a week at the Bomun Tourist Complex in Gyeongju at the end of October. With an estimated 20,000 participants?including leaders from all 21 member economies, business executives, and journalists?expected to visit Gyeongju, delays in government decision-making are causing setbacks in the improvement of accommodation infrastructure.
New Accommodation Built, but Hotel Industry Frustrated by Delays
According to industry sources on July 3, the Sonocam Gyeongju resort, operated by Daemyung Sono Group and located 1 km from the HICO (Hwabaek International Convention Center) where the summit will be held, is undergoing intensive renovations despite the sweltering heat. The goal is to complete all refurbishment work by September. Daemyung Sono Group has operated the three-star Sonobel Gyeongju resort in Gyeongju since 2006, but in line with the APEC Summit, it will introduce the new five-star Sonocam Gyeongju. The current completion rate stands at 84%. Through this renovation, Sonocam Gyeongju plans to secure a total of six Presidential Royal Suite (PRS) rooms.
PRS rooms refer to the highest-grade suites, reserved for heads of state and global CEOs, featuring top-tier amenities and security. The Gyeongbuk APEC Preparation Task Force has secured 35 PRS rooms at 12 accommodation facilities within 7 km of HICO. This includes nine newly established PRS rooms in addition to the 16 existing ones, as well as 10 semi-PRS rooms, bringing the total to 35. For standard rooms, more than 10,000 have been secured, with the maximum daily guest capacity expected to reach up to 7,700 people.
Lahan Select, one of Gyeongju’s five-star hotels, is combining two suites on the 11th floor into one PRS room. Another suite, previously used by the late Hyundai Chairman Chung Ju-yung, is scheduled to complete its remodeling within the month. Kolon Hotel finished its renovations at the end of last month and has secured a total of two PRS rooms. The-K Hotel is also undergoing renovations to secure PRS rooms, with all work expected to be completed by September.
However, the hotel industry has expressed concerns that delays in accommodation assignments and related schedules could cause confusion right up to the summit. The government initially stated it would notify which heads of state from the 21 member economies would attend by May, but it appears that no specific details have been communicated yet.
After Gyeongju was selected as the APEC Summit venue in June last year, the prolonged political turmoil following the December 3 Martial Law and the impeachment crisis, as well as the presidential election, led to delays in government decision-making. Accommodation assignments for the leaders are handled by the Ministry of Foreign Affairs’ APEC Preparation Planning Team, which contacts each embassy individually and then informs the hotels of the allocations.
Meanwhile, it is understood that the government is also considering expanding accommodation options beyond Gyeongju to include Ulsan, Busan, and Pohang (for cruise ships). This comes amid concerns about the condition of accommodations and a shortage of shared facilities in Gyeongju, prompting the government to urgently seek alternatives. The Korea Chamber of Commerce and Industry has reportedly proposed the idea of docking a cruise ship at Pohang Yeongilman Port during the APEC CEO Summit to serve as accommodation for global CEOs. This is because the overlap between the CEO Summit and the main summit could lead to a shortage of PRS rooms, making additional lodging necessary.
An industry insider commented, “There are rumors that accommodations are insufficient, and overall, things are running behind schedule. Even after renovations, adjustments may be needed depending on which countries require how many rooms, but since plans are not being shared, we are left waiting. Embassies are visiting, but we still do not know if their delegations will actually stay at these accommodations.”
Meanwhile, some in the industry point out that while preparations for APEC are progressing rapidly, the overall delay in decision-making has resulted in a lack of planning for the post-APEC period. An industry official said, “If the government had consistently signaled that Gyeongju would host more summits in the future, voluntary investments?including in accommodation?could have been attracted, ensuring sustainable development. But that is not the case now. There is a strong perception that this is a one-off investment, so everyone is just waiting for government funding.” Reportedly, the government has established a principle of supporting up to half the construction costs for PRS rooms. Under a post-construction reimbursement system, submitting the necessary documentation allows for partial cost recovery. For projects other than PRS rooms, support ratios are still under review due to delays in budget allocation.
"This Is How You Roll Out the Red Carpet..." Gyeongbuk APEC Task Force Pursues MOU with Lotte Hotel
In this context, the Gyeongsangbuk-do APEC Summit Preparation Task Force is planning to establish a strategic partnership with Lotte Hotel & Resort to enhance the quality of hotel services and strengthen service training for accommodation staff. This follows last month’s visits by representatives from major Gyeongju accommodations, the Ministry of Foreign Affairs’ APEC Preparation Planning Team, and the Gyeongbuk APEC Preparation Task Force to Lotte Hotel Seoul and Shilla Hotel for specialized service training.
Lotte Hotel is one of the few luxury hotels in Korea with experience hosting major international events for the presidential office and the Ministry of Foreign Affairs. Last year, distinguished guests such as President Mohamed bin Zayed Al Nahyan of the United Arab Emirates (UAE), Crown Prince Mohammed bin Salman, Prime Minister Narendra Modi of India, former French President Francois Hollande, and Microsoft founder Bill Gates stayed in the Royal Suite Room at the Executive Tower of Lotte Hotel Seoul.
During the task force’s visit last month, Lotte Hotel reportedly shared its accumulated expertise with the delegation, including detailed protocols for welcoming state guests and how to properly lay out the red carpet. An official from the APEC Summit Preparation Task Force stated, “Lotte Hotel is internally considering providing food and beverage services for the summit banquet, and we plan to build a strategic partnership in connection with this.”
A representative from Lotte Hotel & Resort said, “We are maintaining continuous practical communication. Since this is a national event, if the task force requests support regarding hotel services, we plan to provide it.” The Gyeongbuk APEC Preparation Task Force also plans to conduct service training for Gyeongju hotel staff in cooperation with the Korea Concierge Association by the end of September.
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