Daegu Signs MOU with Key Partners
Over 200 Renowned Brands to Open Stores
On December 16 at 2:00 p.m., the Daegu Metropolitan Government signed a memorandum of understanding (MOU) at the Sangyeok Government Complex with Shinsegae Simon Co., Ltd. (CEO Kim Youngseop), Shinsegae Co., Ltd., Simon Property Group of the United States, Daegu Urban Development Corporation, and Dong-gu District of Daegu for the construction of the "Daegu Premium Outlet" within Ansim New Town in Daegu.
Under this agreement, Shinsegae Simon will build the Daegu Premium Outlet on a 41,134-square-meter commercial retail site in Ansim New Town. The outlet will feature a sales area of 13,000 pyeong (42,900 square meters) and will house around 200 well-known domestic and international brands, including global fashion and F&B names, creating a premium shopping space.
This development is expected to revitalize the economy of Dong-gu District, which has experienced delays in development, such as the withdrawal of investment by IKEA Daegu. The Ansim New Town area is anticipated to be reborn as an urban complex lifestyle and cultural space that combines shopping with cultural and leisure facilities.
With the establishment of the outlet, the global brand recognition and appeal of Shinsegae Simon Premium Outlet are expected to attract more domestic and international tourists. This will promote a stay-type consumption pattern that combines shopping and leisure, which is anticipated to have a positive impact on the local tourism industry.
With more than 6 million annual visitors expected, the outlet is set to invigorate the local commercial district, create over 1,000 direct and indirect jobs, and generate an economic ripple effect worth several hundred billion won annually. Through this, Daegu Premium Outlet will become a key driver of regional development, significantly enhancing the urban competitiveness of Dong-gu District beyond being a mere commercial facility.
Shinsegae Simon, established in 2005 as a joint venture between Shinsegae Group and Simon Property Group, the top premium outlet company in the United States, introduced the premium outlet concept to Korea with the opening of Yeoju Premium Outlet in 2007, transforming the domestic outlet market and leading market trends.
Celebrating its 20th anniversary this year, Shinsegae Simon has declared the arrival of the "Premium Outlet 2.0 Era," announcing plans to open new locations in Korea’s core metropolitan markets at a world-class level, with Daegu selected as the first site.
The Daegu Premium Outlet will be built as a new type of shopping center that combines the advantages of both urban shopping malls and suburban premium outlets, leveraging excellent accessibility, with the goal of opening in 2028.
While premium outlets have traditionally been located in suburban areas, Ansim New Town, where the Daegu outlet will be located, is situated in the city center with major transportation networks such as the urban railway, Daegu Outer Ring Expressway, Dongdaegu IC, and Suseong IC. It is also easily accessible from the Gyeongbuk region, making it likely that consumer demand from nearby areas will be concentrated in Daegu.
Building on these strengths, Shinsegae Simon plans to make Daegu Premium Outlet a "premium in everyday life" that customers can visit daily. By offering brands, spaces, and content tailored to the lifestyles of key consumer groups, the company aims to deliver its premium value, prioritize hiring local residents to create high-quality jobs, and actively pursue win-win cooperation with the local community.
The Daegu Metropolitan Government, Dong-gu District, and Daegu Urban Development Corporation will also provide one-stop support for various permits, approvals, and coordination with relevant agencies to ensure the successful implementation of the project.
Kim Youngseop, CEO of Shinsegae Simon, stated, "We will do our utmost to ensure the successful opening of Daegu Premium Outlet by leveraging our unrivaled operational expertise as an industry leader, and we will prepare top-tier brands and shopping content to establish it as a new shopping landmark in the Daegu-Gyeongbuk region. We will also take the lead in revitalizing the local economy through job creation and win-win cooperation."
Kim Jeonggi, Acting Mayor and Deputy Mayor for Administrative Affairs of Daegu, said, "By attracting global retail company Shinsegae Simon to Ansim New Town, where development has been delayed, we are creating a landmark that will bring vitality and prosperity to the eastern region of Daegu. We will spare no administrative and policy support to ensure that a premium complex lifestyle and cultural space representing Korea can be built as quickly as possible."
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