1 Trillion Won Incheon Public Housing Complex Project on Track as Incheon Urban Development Corporation and HDC Hyundai Development Company Sign Agreement

On February 25, Incheon Urban Development Corporation (iH) and the HDC Hyundai Development Company consortium signed a project agreement for the "Urban Public Housing Complex Development South of Gulpocheon Station" being promoted in the Bupyeong-gu area of Incheon. This followed their selection as the preferred negotiation partner in December last year and subsequent discussions. Going forward, the project will go into full swing as the complex development plan is approved and procedures such as the establishment of a project REIT are carried out.

The project site is located around 895-2 Bupyeong-dong, Bupyeong-gu, Incheon, near Gulpocheon Station on Subway Line 7. This station-area residential project calls for the construction of 14 buildings with 3,016 housing units, ranging from 4 basement levels to a maximum of 49 above-ground floors. The total construction cost is 1.06 trillion won. To both redevelop aging residential areas in the city center and expand housing supply, the public sector will lead the project while the private sector participates in construction and project execution.

Project site for the urban public housing complex south of Gulpocheon Station in the Bupyeong area of Incheon. Provided by Hyundai Development Company.

The project will utilize a project Real Estate Investment Trust (REIT) structure, which is a type of real estate investment company. According to the company, the intention is to raise funds and carry out the project through the REIT in order to enhance financial stability and manage the project structure in a transparent manner. The industry expects this to help reduce project delay risks and increase acceptance among stakeholders.

The project site is close to Gulpocheon Station, and Bupyeong-gu Office Station, which serves both Line 7 and Incheon Line 1, is also accessible. Bupyeong Station is connected to the planned Greater Seoul Metropolitan Express Railway (GTX) Line B, which is currently under discussion. A representative from HDC Hyundai Development Company said, "This project will become a leading example of a new urban housing supply model in which the public sector takes the lead and the private sector participates," adding, "Through mixed-use development around the station, we will simultaneously achieve stable housing supply and improvements to living infrastructure."

Bird's-eye view of the urban public housing mixed-use project on the south side of Gulpocheon Station in the Bupyeong area of Incheon. Provided by HDC Hyundai Development Company