The Jamsil Wousung Apartment in the Songpa District of Seoul has begun the process of selecting a construction company. Located in the 101-1 area of Jamsil-dong, Songpa District, the Jamsil Wousung Apartment consists of 29 buildings with a total of 1,842 units and has a mid-rise (15 floors) aged structure, completed in 1981. The total construction cost for the reconstruction is close to 1.7 trillion won, making it a large complex situated in Jamsil-dong, Gangnam, Seoul, which is expected to attract significant interest from major construction companies.

Earlier, in September 2023, the Seoul City Urban Planning Committee convened and revised and approved the maintenance plan for the Jamsil Wousung Apartment. It will be reconstructed into a large-scale residential complex with a maximum floor area ratio of 299.93%, a maximum of 49 floors above ground with four underground levels, totaling 2,680 units (342 of which will be public housing).

Graphic=Son Min-gyeon

According to the maintenance industry on the 27th, the reconstruction maintenance project association for the Jamsil Wousung Apartment announced the selection of a construction company on the 24th and decided to hold an informational session at the association office on January 3. Bidding will be conducted until 2 p.m. on March 4, 2024, and bids must be submitted with a deposit of 60 billion won, alongside the bid proposal. The association has proposed a total construction cost of 1.6934 trillion won (920 million won per 3.3 square meters based on gross floor area). Consortium bidding is not allowed.

A representative of the association noted, 'The selection of the construction company is expected to be completed around April 2024, and after that, the plan is to apply for project implementation approval after undergoing local government building reviews.'

The maintenance industry anticipates a significant possibility that Samsung C&T Corporation, the industry's number one company, and GS Engineering and Construction, ranked sixth, will compete for the Jamsil Wousung Apartment project. An industry official said, 'While many other large construction companies will likely be interested, Samsung and GS have been actively pursuing this site for a long time, so it seems one of them will take on the construction.' Another official remarked, 'Samsung C&T's commitment to this project is very strong, and considering the location and business viability, it is an attractive establishment that Samsung C&T has been watching closely and is expected to participate actively in the bidding.'

Park Ji-min, head of the Woolyung Subscription Research Institute, stated, 'Since this establishment can set general sale prices that far exceed construction costs per 3.3 square meters, it represents significant revenue potential for the association or its members, while being a viable project for construction companies.' He added that 'the Jamsil Wousung Apartment is expected to have better business viability compared to the nearby Jamsil Park Rio, which was rebuilt from Jamsil Shiyeong Apartment.'

Meanwhile, the selling price of the Jamsil Wousung Apartment has increased by nearly 300 million won this year. On the 5th, an apartment with a usable area of 96.65 square meters (2nd floor) was traded for 2.4 billion won. On October 26, a 6th-floor apartment of the same size changed hands for 2.455 billion won. Compared to a sale of 2.16 billion won (7th floor) last year, this marks an increase of 295 million won.