Sampyo Group is moving forward in earnest with developing a future-oriented mixed-use business complex of up to 79 stories on the former Sampyo Ready-mix Concrete plant site. When completed, the building is expected to become the second-tallest supertall landmark in Seoul after Lotte World Tower (123 stories).
The Seongsu project is seen as a symbol of change for Sampyo Group, as it seeks to leap from a traditional construction basic materials corporations focused on ready-mix concrete and cement to a comprehensive developer with a foundation for future growth.
Sampyo Group said on the 22nd that it is pushing ahead in earnest with the "Seongsu Project" to develop a future-oriented mixed-use business complex of up to 79 stories on the former Sampyo Ready-mix Concrete plant site in Seongsu-dong, Seoul.
The Seoul Metropolitan Government recently approved with amendments the "Decision on Detailed Development Plan for the Seoul Forest District Unit Planning Area and the Sampyo Ready-mix Concrete Special Planning Area" at the 19th Urban Architecture Joint Committee meeting.
As a result, the site of the former Sampyo Ready-mix Concrete Seongsu plant, which began operations in 1977 and was demolished in Aug. 2022, can be reborn as a supertall mixed-use facility.
Through the city's pre-negotiation system, Sampyo Group plans to develop the site into a mixed-use complex combining office, residential, and commercial functions.
To create a future-oriented business hub, the ratio of office facilities will be set at 35% or more, and residential facilities will be introduced at 40% or less to strengthen proximity between work and home.
Improvements to infrastructure aimed at easing traffic congestion around the Seoul Forest area will also be promoted.
The "Unicorn Startup Hub," a startup support space planned by the city, will be established, and a three-dimensional pedestrian park connecting the Seongsu site and Seoul Forest will be created to build an expanded green network.
The project was selected last year for "Urban Architecture Creative Innovation Design," following designation as a "Pre-negotiation for Architectural Innovation" site in recognition of its innovative design.
Accordingly, development conditions that can enhance urban value have been secured, including easing the building coverage ratio to a maximum of 90% for the three-dimensional pedestrian deck section linked to Seoul Forest, and adding 104 percentage points (p) to the floor area ratio.
Through the Seongsu project, Sampyo Group will directly develop and operate a global future-oriented mixed-use business complex that encompasses not only office, residential, and commercial facilities, but also lodging functions such as a hotel. The project is a core business leading Sampyo Group's new growth strategy and is expected to become the starting point for an urban mixed-use development operation model.
To ensure the project's success, Sampyo Group has strengthened its capabilities by forming a dedicated organization and actively recruiting professionals. In Feb., it hired President Rodrigo Bilbao, who has global real estate development experience, and appointed President Seok Hee-cheol, formerly of Lotte E&C and who oversaw construction of Lotte World Tower, as head of construction for the Seongsu project, thereby securing capabilities for developing a supertall mixed-use complex.
Alongside the Seongsu project, Sampyo Group is accelerating the Seoul DMC Susaek project. The project will create a residential-commercial complex in the area of Jeungsan-dong, Eunpyeong-gu, Seoul, combining 299-unit private rental apartments with office, commercial, and cultural facilities, and will be developed as three buildings (B5 to 36 stories above ground).
Hyundai E&C is in charge of construction, and the project, scheduled for completion in 2027, will also include the new Sampyo Group headquarters, "SP Tower."
After completion, major affiliates such as Sampyo Industry, SAMPYO Cement, SP Nature, Sampyo P&C, and Sampyo Railway will move in sequentially, and the space is expected to be used as an integrated workplace for the group's core functions.
The project will use Sampyo Group's self-developed low-carbon, eco-friendly special cement "BLUEMENT" and special concrete "VAP (Value Added Product)."
Sampyo Group's push to nurture real estate development as a new growth engine is a strategic shift to secure a foundation for sustainable growth despite the construction market downturn. It is a mid- to long-term portfolio innovation that reduces dependence on traditional construction basic materials businesses while creating future revenue sources.
President Rodrigo Bilbao said, "The Seongsu project is a major milestone that will raise the future value of downtown Seoul while leading the group's industrial expansion by entering the high value-added real estate development market," adding, "We will responsibly push the project forward to create a future-oriented landmark that the city and citizens can enjoy together."