Seongnam City Finds Breakthrough for Seongho Market Modernization After 12 Years of Stagnation

City Normalizes Project with Trust-Based Redevelopment

Secures 80.95% Landowner Consent Rate

Aiming to Appoint Designated Developer in November

Construction to Start in 2029, Completion Targeted for 2032

The Seongho Market facility modernization project, a long-awaited initiative by Seongnam City in Gyeonggi Province (Mayor Shin Sangjin), has secured a critical breakthrough for project normalization after 12 years. Following the transition to a small-scale redevelopment model managed by a trust company, the project has now met the consent requirements from land and property owners necessary for appointing a designated developer, thereby accelerating its progress.

Perspective view of Seongho Market facility modernization project. Provided by Seongnam City

On September 30, Seongnam City announced that the consent rate among land and property owners for the Seongho Market facility modernization project reached 80.95% this month, surpassing the 75% threshold required to appoint a designated developer. The city is currently proceeding with the necessary procedures with the goal of appointing a designated developer by November.

The project aims to transform the aging market area in 2020 Seongnam-dong, Jungwon-gu into a multifunctional space that will include residential complexes, office facilities, and a public market. Although the project began in 2014 to improve the market environment and revitalize the commercial district in the old downtown, it remained stagnant for years due to changing project conditions.

Specifically, in February 2024, when Korea Land & Housing Corporation (LH), a joint developer, requested an additional public subsidy of 35 billion won due to decreased project profitability caused by rising costs, the need for alternatives became apparent.

After conducting a feasibility study and reviewing alternative project structures, the city shifted to a small-scale redevelopment model managed by a trust company. Seongnam City participates as a land and property owner for municipal lands within the project area, securing a public market equivalent in value and development profit to its property share.

Since Daishin Asset Trust proposed the appointment as designated developer in September of last year, the city has reviewed the proposal, held two project briefings, and undertaken individual consultations with land and property owners to secure their consent. Once the designated developer is appointed, subsequent procedures such as integrated reviews and approval of implementation plans will follow.

The development site will include residential complexes and officetels ranging from three basement floors to 24 above-ground floors, as well as the Seongho Public Market and other neighborhood facilities. The target schedule is to break ground in 2029 and complete construction in 2032.

Mayor Shin Sangjin stated, "The Seongho Market facility modernization project, which has been delayed for a long time, is now entering a full-fledged implementation stage. We will expedite the follow-up procedures to improve the outdated market environment and inject new vitality into the old downtown’s commercial district and local economy."

This content was produced with the assistance of AI translation services.