A reconstruction complex in Gangnam, Seoul, is negotiating with the district office and the Seoul city government to increase the scale of its planned reconstruction. This is the site where the district office was reported to have transferred a public road, which is used by students from a nearby middle school, to the reconstruction union for free, leading to the district head being reported to the police by residents.

The main entrance of I-Soo Middle School adjacent to the Banbae 14 district housing reconstruction project (right) and the protest placard attached to a nearby villa. / Courtesy of Jung Hae-yong journalist.

According to the maintenance industry on the 11th, the Bangbae 14 District Housing Reconstruction Maintenance Project Association in Bangbae-dong, Seocho-gu, and its construction company, Lotte Construction, are negotiating to change the maintenance plan with the Seoul city government and Seocho District Office. This establishment is planning to reconstruct the Hyundai Villa located on 27,482 square meters in Bangbae-dong 975-35 into a structure with two basement levels, 15 above-ground floors, 11 buildings, and 487 dwellings. Lotte Construction's high-end brand, Bangbaerel, will be applied.

Lotte Construction initially planned to sell Bangbaerel by the end of this year, but both sales and construction have been postponed. Lotte Construction anticipates that construction will commence in the second half of 2025, with sales expected to start after 2026.

The delay in construction and sales is due to ongoing reviews to increase the number of planned units and raise the maximum floor height. The district office and Lotte Construction are discussing how many additional units will be added. A Seocho District Office official noted, 'We have conducted three sessions of the Seoul city government’s Architectural Committee since last year to modify the maintenance project, and we are currently in discussions with relevant departments on changing the maintenance plan.'

This month, the Seoul city government and the district office are also reviewing the traffic impact assessment with the union. This work aims to anticipate issues such as traffic congestion arising from projects that induce demand above a certain scale and seek countermeasures. The industry anticipates that related reviews will conclude in the first half of next year.

Bangbaerel is currently an establishment embroiled in controversy regarding the closure of public roads related to nearby schools. On the left side of the union is a middle school, and the Seocho District Office transferred the public road, Hyoryeong-ro 19-gil, bordering this area to the union, incorporating it into the reconstruction site. When the public road was closed, nearby residents protested, claiming it blocked students' routes to school. In January, Jeon Seong-soo, the head of Seocho District Office, along with other district officials and a responsible person from Lotte Construction, were reported to Bangbae Police Station for obstruction of public traffic. In response, the Seocho District Office stated, 'The police report against the district head is unrelated to the delay in the Bangbaerel reconstruction.' However, some residents are demanding, 'The Seocho District chief should return Hyoryeong-ro 19-gil, which was transferred to the 14 District Reconstruction Union for free.'

Meanwhile, this area is subject to a cap on selling prices, resulting in lower sale prices compared to nearby apartment market rates, attracting high interest from applicants. On the 10th, DL E&C conducted special supply applications for 'Acro Ritz County' in the Bangbae-dong area, which received applications from 17,349 households for 69 units, resulting in a competition rate of 251.43 to 1. For the first round of applications for 71 units, 34,279 people applied, achieving a competition rate of 482.8 to 1. There are about 10 reconstruction establishments in Bangbae-dong, including Bangbae 5 District (D-Hchi Bangbae) being built by Hyundai Construction and Bangbae 6 District (Raemian One Pearlra) reconstructed by Samsung C&T.