Korea Racing Authority Discusses Relocation of Headquarters and LetsRun Park

In line with the government's second phase of public institution relocations, the Korea Racing Authority (KRA) is undergoing organizational restructuring, intensifying discussions about relocating its headquarters and LetsRun Park. However, the selection of a new site, funding, and regional conflicts present significant challenges that may delay the actual move.

According to the public institution management information disclosure system, Alio, KRA's board of directors approved the establishment of a new "Future Strategy Headquarters" on April 30. This headquarters, which will consist of about 100 personnel, is set to launch on May 13 and will handle key functions including planning, coordination, budgeting, performance management, and overseeing the relocation of the headquarters and LetsRun Park.

Alongside the organizational changes, KRA is also expanding its regional offices. The existing Busan-Gyeongnam Regional Headquarters will be restructured into the Yeongnam Regional Headquarters, with plans to increase staffing by about 40 personnel. This move is in preparation for the upcoming opening of the Yeongcheon Racecourse later this year. The head of the regional headquarters will be a senior-level employee.

This restructuring is seen as a response to increasing pressure to relocate LetsRun Park, particularly in light of the government's housing supply policies in Gwacheon. The site of LetsRun Park in Gwacheon has been frequently mentioned as a potential location for new housing developments due to its prime location in the metropolitan area. Consequently, there are growing concerns within KRA about the lack of viable alternatives to relocation.

A KRA official stated, "While the government emphasizes the need to relocate LetsRun Park, there has been insufficient discussion regarding the constraints of the horse racing industry and operational realities. We plan to explore necessary support and realistic alternatives through the Future Strategy Headquarters during the relocation process."

Currently, the most discussed scenario involves separating the relocation of the headquarters and LetsRun Park. The headquarters may move to a regional area such as Yeongcheon or Jeju, while LetsRun Park could relocate to another area within Gyeonggi Province, considering accessibility to the metropolitan area. However, industry consensus suggests that separating the two locations poses challenges due to the need for large spectator turnout and transportation accessibility.

In this context, competition among local governments to attract the horse racing venue is intensifying. In some southern Gyeonggi areas like Siheung and Ansan, local election candidates are pledging to attract a racetrack, while in Uijeongbu, proposals have emerged to locate LetsRun Park at Camp Stanley, a former U.S. military base.

The active involvement of local governments is driven by the substantial tax revenue potential. In 2023, LetsRun Park contributed approximately 315.7 billion won in leisure taxes and 126.3 billion won in local allocation taxes to Gyeonggi Province. Notably, under current local finance laws, a portion of the leisure tax is distributed to municipalities where racetracks and off-track betting locations are situated, making successful relocation a pathway to stable local financial resources.

There is a growing sentiment within and outside KRA that Siheung City is a realistic candidate for relocation. Its excellent accessibility from the southwestern metropolitan area and the potential for securing a large site are key factors. One industry insider noted, "The northern Gyeonggi area faces significant risks for race operations due to winter cold snaps and ground freezing issues. Considering accessibility and climate conditions, the southern Gyeonggi area is more practical, with Siheung appearing to be the most promising option."