GS Engineering & Construction has secured the construction rights for the Sajik 3 District redevelopment project in Busan's Dongnae District, signing a contract worth 408.2 billion won (approximately $3.4 billion).
The company announced on August 7 that it signed a construction contract with the Sajik 3 District Redevelopment Association on August 6, with the contract amount excluding value-added tax. This amount represents 3.28% of GS Engineering & Construction's consolidated revenue of 12.45 trillion won last year.
The Sajik 3 District redevelopment project will involve the construction of nine residential buildings, totaling 995 units, with three basement levels and 33 floors, located at 411-1 Sajik-dong. The area is noted for its proximity to educational institutions and a subway station, making it a desirable residential location.
GS Engineering & Construction was selected as the contractor for the Sajik 3 District redevelopment in September of last year, with the estimated construction cost at that time being around 408.2 billion won. The recent contract formalizes this agreement.
Payment for the construction will be made through a 'sales-based' method, where costs are covered by revenue from general sales. There will be no separate contract or advance payment, and the construction period is set for 42 months from the actual start date, which has yet to be determined.
Additionally, GS Engineering & Construction ranked third in the construction capability evaluation announced by the Ministry of Land, Infrastructure and Transport last month for the year 2026. The company noted that the contract amount and construction period may change depending on future project developments and contract conditions.
* This article has been translated by AI.
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