Part of the Metropolitan Railway "Gangdong–Hanam–Namyangju Line," the phase-four extension of Line No. 9, failed to attract bidders in the contractor selection process, stalling the project.
According to the maintenance industry on the 20th, all three construction packages—sections 2, 5, and 6—out of the total six packages for the Gangdong–Hanam–Namyangju Line were voided after no construction company participated.
The Gangdong–Hanam–Namyangju Line is an extension of Subway Line No. 9, running 17.59 kilometers from Gangdong District in Seoul through the Hanam Misa District, Namyangju Wangsuk, and Jinjeop 2 District. Eight stations are planned, and the total project cost is 2.82 trillion won. Together with Gyeonggi Province, the Seoul Metropolitan Government, Korea Land & Housing Corporation (LH), and Gyeonggi Housing & Urban Development Corporation (GH) will share the project costs. Section 1 is overseen by the Seoul Metropolitan Government, and sections 2 through 6 are overseen by Gyeonggi Province.
Earlier, a Daebo Construction consortium and a Geumgwang Enterprise consortium bid for section 3, and an HJ Shipbuilding & Construction consortium and a Geukdong Construction consortium bid for section 4, forming competitive tenders and putting the project on track.
The construction industry says sections 2, 5, and 6 are highly complex while the contract prices are set too low. An official at a major builder said, "Railway, subway, and underground works are typically handled by a limited number of firms with the required technology, so experienced builders can win contracts stably under limited competition," adding, "The fact that the bids fell through suggests the difficulty is high and the budget is low. It is necessary to align the contract price with reality to secure project viability."
The line passes through Hanam Misa Riverside New Town, Namyangju Wangsuk New Town, and Jinjeop 2 District, and local real estate has already partially risen on the back of anticipated transport benefits. According to the Korea Real Estate Board (REB) weekly apartment price trends, as of the 8th, apartment sale prices in Namyangju rose 0.03% from the previous week, marking 13 straight weeks of gains since Jun. 16. Hanam recorded 27 consecutive weeks of increases from Mar. 10 to the 8th.
However, if bidding failures continue, meeting the target opening aligned with the 3rd new town move-in schedule in 2031 will likely be difficult. New town residents would face inconveniences commuting to and from Seoul. Gyeonggi Province said it will proceed without disruption on three metropolitan rail lines being promoted for the 3rd new towns—the Goyang–Eunpyeong Line, the Songpa–Hanam Line, and the Gangdong–Hanam–Namyangju Line—and open all of them when move-ins for the 3rd new towns are completed.
Experts warned that if the opening is delayed due to failed tenders, the temporarily elevated real estate prices could be affected. Ko Jun-seok, chief professor at Yonsei University's Sangnam Institute of Management, said, "The increases reflecting anticipated transport benefits will not fall immediately, but if securing transport infrastructure is delayed, the effect of dispersing demand from Seoul will weaken, raising the possibility of unsold homes," adding, "If unsold homes occur or perceptions of transport inconvenience take hold, we cannot rule out the possibility of price declines."
Seo Jin-hyeong, a professor in the real estate law and administration department at Kwangwoon University, said, "It does not appear it will immediately affect prices, but it becomes a problem if future inconveniences for new town residents grow," adding, "If the actual opening is delayed from the target of 2031, then it could affect real estate prices."