Policy Change Reflects Council Demands and Aims for Balanced Development in Deogyang and Ilsan
Approval of Gyeonggi Province Investment Review Needed for Building Reinforcement and Venture Company Move-In
Goyang Special City in Gyeonggi Province (Mayor Lee Donghwan) is seeking a breakthrough in the long-stalled relocation of City Hall to Baekseok by significantly reflecting the demands of the city council. The city has changed its plan from a 100% relocation of City Hall to utilizing the Baekseok Business Building as a venture town and public office facility, aiming to secure self-sufficient infrastructure.
According to the "Investment Review for Relocation of City Hall to Baekseok" submitted to Gyeonggi Province on July 14, Goyang City has decided to incorporate the city council's 2018 resolution from the Public Property Management Plan, which called for the "utilization of the Baekseok Business Building for public purposes such as a venture town and public offices."
Initially, the city had planned to move all City Hall departments into the building. However, Gyeonggi Province requested three rounds of supplementation and rejected the investment review, citing a lack of agreement with the city council. As a result, the city has revised its basic plan in line with the council's demands: more than half of the Baekseok Business Building will be allocated to venture companies, and only some City Hall departments will be relocated to the remaining space.
Currently, 37 departments-including those currently leasing space in eight external private buildings in Jugyo-dong and Seongsa-dong, as well as existing business departments-will be relocated to the Baekseok Business Facility. However, key departments such as the Mayor's Office, Deputy Mayor's Office, Planning and Coordination Office, Autonomous Administration Bureau, and other direct offices will remain at the current Jugyo City Hall. More than half of the Baekseok Business Facility will be filled with venture companies, as requested by the city council.
The Baekseok Business Building consists of two towers-one with 20 floors and the other with 13 floors-covering a total floor area of 66,189.51 square meters (approximately 20,000 pyeong). The building has been mostly vacant for over two years. When the city council approved the Public Property Management Plan in 2018, it mentioned that utilizing the Baekseok Business Building could address the issue of cramped office space and increase budget savings by reducing rental costs. As most of the lease terms for departments currently renting private buildings (costing about 1.3 billion won annually) expire at the end of this year, relocating to the Baekseok Building is essential for budget savings.
As Goyang City submitted its fourth investment review request to Gyeonggi Province, there have been reports that some parties have filed civil complaints with the province, urging rejection of the proposal. This has raised concerns within the city government. Under the revised plan, the city insists that the investment review must be approved, as the building will require structural reinforcement, upgrades to electrical and telecommunications capacity, and the expansion of amenities such as restrooms to accommodate its use as a venture company cluster and public facility.
Even if the investment review is approved, it is expected to take nearly a year for design and construction bidding, and the reinforcement work itself is projected to take at least another year.
Goyang City is making every effort to attract promising venture companies and has reached a level where some tangible results can be expected. In the 2025 presidential election, current President Lee Jaemyung also pledged to establish a venture cluster town in Baekseok-dong. Nevertheless, if the investment review is not approved, the city faces the risk of failing to attract venture companies.
Furthermore, in the 2024 "Yojin Business Building Delayed Donation Compensation Lawsuit," the recognized compensation amount for damages was reduced from the original 45.6 billion won to 26.2 billion won. This was due to reasons including the fact that the Baekseok Business Building had not been used for over a year after its ownership was transferred. In addition, more than 30 million won in public utility costs are being spent on the Baekseok Business Building every month.
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