The Gangnam District Office is reviewing administrative guidance regarding Samsung C&T and Daewoo E&C, who are participating in the bidding for the Gaepo Woosung 7th. The competition between the two construction companies has intensified due to mutual defamation and false and exaggerated advertising. A union from the Hannam 4 district mentioned in the defamation has sent an official document to both the Gaepo Woosung 7th union and Daewoo E&C, leading to conflicts between the unions. The Gaepo Woosung 7th union is set to select a construction company on the 23rd.
On the 4th, according to the Gangnam District Office and the maintenance industry, the Gangnam District Office has been internally reviewing administrative guidance for Samsung C&T and Daewoo E&C as the bidding for the Gaepo Woosung 7th has shown signs of overheating.
A Gangnam District Office official said, "If there are any legal issues in the bidding competition, we will take legal action, and if overheating worsens, we will implement administrative guidance," adding, "We will call both construction companies and unions to advise them to operate within the legal range and not to provoke each other."
This is not the first time that the Gangnam District Office has taken action against the bidding for the reconstruction of Gaepo Woosung 7th. After the bid date for selecting a construction company on June 19, Samsung C&T and Daewoo E&C filed complaints with the Gangnam District Office, arguing that the advertising by the opposing side was inappropriate, and the Gangnam District Office had previously sent an official document to the Gaepo Woosung 7th reconstruction union urging them to 'take action against' such advertising.
The Gaepo Woosung 7th union has sent several official documents to both construction companies. The documents contained requests not to engage in defamation, false and exaggerated advertising, or promotion that differs from the bidding proposals. However, the construction companies did not comply with the union's promotional guidelines, according to the union's statements. As the bidding competition intensified, the union is considering informing its members about the inappropriate promotional activities of the two construction companies before holding a general meeting to select a construction company on the 23rd.
A Gaepo Woosung 7th union representative stated, "We sent five documents each to Samsung C&T and Daewoo E&C, totaling 10 documents," adding, "Neither construction company has complied with the promotional guidelines we provided in advance."
With the involvement of the Hannam 4 district redevelopment union mentioned in the bidding defamation, tensions between unions are escalating. The Hannam 4 district union sent an official document to both the Gaepo Woosung 7th union and Daewoo E&C on the 1st, requesting that they stop the dissemination of false information. This request was prompted by Daewoo E&C distributing a flyer stating that "the reason for the 10-month period from bidding to contract for Samsung C&T in the Hannam 4 district was due to the addition of reasons for construction suspension, the reduction of obligations for completion responsibility, and the addition of clauses for late payment, among 27 changed terms." The document also contained a request for Daewoo E&C to immediately cease the dissemination of false information. The Hannam 4 district union entered into a construction contract with Samsung C&T in January.
Min Byeong-gi, head of the Hannam 4 district union, said, "We completed discussions on the details of the contract four months after selecting the construction company in May," adding, "The project with Samsung C&T is progressing well, and we sent the document out of concern that creating discord might disrupt the project."
In response, a Gaepo Woosung 7th union official remarked, "It is unpleasant that other maintenance project unions have sent protest documents regarding our project." A Daewoo E&C official also commented, "Samsung C&T proposed 100% acceptance of the contract, fixed interest rates, and Skybridge in the Hannam 4 district, while showing a different attitude toward Gaepo Woosung 7th, and we criticized this," adding, "We have little interest in the Hannam 4 district project."
Meanwhile, the Gaepo Woosung 7th apartment is scheduled to be transformed into an apartment complex with 1,122 units over 35 floors above ground and 5 floors below ground through the reconstruction project. It is conveniently located near Daemosan Entrance Station on the Suin-Bundang Line and Daechong Station on Line 3, with schools like Yeonghee Elementary, Jungdong Middle, and Jungdong High School nearby. The project cost is 677.8 billion won.