As the selection of a construction company for the highly competitive Apgujeong 5 District reconstruction project approaches, DL E&C is intensifying its efforts to win over union members by emphasizing a shortened construction timeline and financial benefits, leading to a fierce bidding war with Hyundai Construction.
According to Yonhap News on May 17, DL E&C announced on May 16 during a briefing at the joint promotional center for the Apgujeong 5 District reconstruction project in Gangnam, Seoul, that it proposed a construction period of 57 months, reduced from the previous timeline.
A DL E&C representative stated at the briefing, "By shortening the construction period by 10 months, we aim to lower financial costs and project expenses, resulting in savings of approximately 100 million won per household for union members."
The Apgujeong 5 District is a key redevelopment project along the Han River, transforming the area into a large complex with 1,397 units across eight buildings, ranging from five underground floors to 68 above ground. It is considered one of the most significant projects in this year's reconstruction market due to its excellent educational district and river views.
Union members attending the briefing reportedly expressed high interest in the potential for improved project viability and the maintenance of construction quality due to the shortened timeline while examining the model of the complex.
DL E&C also unveiled project conditions and financial support options during the event. They highlighted a 0% interest rate on project financing, a 150% loan-to-value ratio for relocation loans, and a maximum seven-year deferral for payment of contributions to alleviate financial burdens.
The company also presented its design and view specialization strategy. The 'Acro Apgujeong' project is planned with a three-row structure for each building. Buildings 101-103 in the first row will feature low-rise designs to maximize Han River views, while the second row will consist of the high-rise 'Regent Triple Tower' to enhance symbolism and openness. The third row will include south-facing residential spaces and a central garden.
In competition, Hyundai Construction is proposing the name 'Apgujeong Hyundai Galleria' to emphasize brand significance. Their strategy aims to build a large 'Hyundai brand town' by inheriting the historical and identity aspects of the existing Apgujeong Hyundai Apartments, following their previous contracts for the Apgujeong 2 District and selection as the preferred bidder for the 3 District.
The final decision on the construction company for the Apgujeong 5 District will be made at the union's general meeting scheduled for May 30.
* This article has been translated by AI.
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