Myeongji International New Town Business Facility Site Back Up for Bids... How Much Have Project Conditions Changed?

Busan-Jinhae Free Economic Zone Authority Seeks Developer for 44,595-Square-Meter Project

Business Facility Share Lowered, Project Period Extended to 10 Years

The Myeongji International New Town business facility site development project is once again seeking a developer.

Before reopening the bidding, the Busan-Jinhae Free Economic Zone Authority revised conditions including the facility mix and project period. With the entry requirements eased to allow private developers to design projects in line with market conditions, attention is focused on whether this round will attract proposals that lead to actual development.

The Busan-Jinhae Free Economic Zone Authority, headed by Park Seong-ho, announced on October 14 that it is inviting bids for a developer for Business Facility Site (2) in Myeongji-dong, Gangseo-gu, Busan. The site covers 44,595 square meters and is designated as a general commercial area. Under the district unit plan, it can be developed with knowledge industry centers, offices, officetels and other facilities.

The most notable change in this renewed bidding round is greater flexibility in the facility mix. The authority revised the district unit plan, lowering the required share of the primary use from 70% to 60% and raising the share of secondary uses from 30% to 40%. This maintains the basic framework of a business facility-centered development while allowing developers to adjust the facility mix in response to market demand.

The project period has also been extended to within 10 years from the date the project agreement is signed. As the bidding scope was revised from two parcels to one parcel, Business Facility Site (2), the base amount of the community development contribution was also adjusted. In addition to cash and in-kind contributions, the eligible forms of contribution now include attracting and supporting companies, allowing developers to propose a wider range of ways to contribute to the community.

Through this bidding round, the authority aims not only to develop business facilities but also to attract companies in high-tech industries and industries related to the core strategic sectors of the Busan-Jinhae Free Economic Zone. In addition to the scale of the development project, developers' ability to secure and manage tenant companies is expected to be a key criterion for selection.

A briefing session on the bidding will be held at 2 p.m. on October 21 at the LH Ori office building. The authority will provide information on the site and key bidding conditions, as well as the application and evaluation procedures.

The preferred negotiating party will be selected in February 2027 following a comprehensive evaluation of its development plan, project execution capabilities, and plans to attract and manage tenant companies.

“We plan to improve project feasibility by reflecting changing market conditions and broaden opportunities for private-sector participation,” Park said. “We look forward to participation from outstanding developers with strong project execution capabilities and the ability to attract companies.”

This renewed bidding round goes beyond easing project conditions; it is also a process to determine what companies and business functions can be brought to Myeongji International New Town. Whether the development plan can translate into actual company occupancy and regional economic revitalization is expected to remain an important challenge even after the developer is selected.

Myeongji International New City Business Facility Site (2) Project Area.

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