Approval of Revised Business Plan
Project Aims for Completion in 2029
The project to construct a knowledge industry center within the Hi-Tech Valley (HTV) General Industrial Complex, which had been at a standstill for some time, is now back on track.
The Ulsan Free Economic Zone Authority announced that, following the recent approval of the revised business plan for the "carbon-neutral specialized knowledge industry center construction project," it will begin full-scale implementation of the project.
This project was selected in a 2022 public contest by the Ministry of SMEs and Startups and was promoted to provide affordable spaces for small and medium-sized enterprises as well as startups.
The original plan was to invest a total of 26.8 billion won (16 billion won from the national government and 10.8 billion won from the city) over five years, from 2023 to 2027, to create 59 spaces for tenants.
However, the phase 1 site of the Hi-Tech Valley (HTV) industrial complex, where the knowledge industry center was to be built, was criticized for its locational limitations due to the complete lack of support facilities such as commercial, sales, and business amenities. In addition, factors such as rising prices led to increased project costs, making it inevitable to adjust the scale of the project.
In response, at the end of last year, the Ulsan Free Economic Zone Authority decided to relocate the project site to a mixed-use land parcel in phase 2 of the Hi-Tech Valley (HTV) industrial complex, where industrial, support, and public facilities can be co-located. The number of tenant spaces was also reduced from the original 59 to 50, and the project period was extended by two years.
The revised plan underwent a process to supplement its feasibility and reassess tenant demand, after which a request for approval of the changes was submitted to the Ulsan Regional Office of SMEs and Startups in March this year. The plan passed the business plan modification review committee held at the end of June.
With the business plan modification now finalized, the schedule will move forward in earnest: a design competition will be launched this year, basic and detailed designs will be completed in the second half of this year, construction will begin next year, and completion is targeted for 2029. Sales are expected to begin around 2027, when construction is in full swing.
Lee Kyungsik, head of the Ulsan Free Economic Zone Authority, stated, "This knowledge industry center is expected to become one of the key hubs driving Ulsan's future growth industries, such as hydrogen and secondary batteries. We will do our utmost to build a regional innovation ecosystem by designing spaces and customized support measures to attract capable companies."
Currently, phase 1 of the Hi-Tech Valley (HTV) General Industrial Complex was completed in 2018. The phase 2 project, with a total area of 667,000 square meters and 200 billion won in city funding, began construction in May 2023 and aims for completion in May 2027, with progress currently at 30%. Ulsan City is also conducting a parallel study to calculate the development cost for sales, which is scheduled to begin early next year.
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