Lotte Engineering has secured the construction rights for the redevelopment project in the Seongsu Strategic Redevelopment Zone, located in the Seongdong District of Seoul. The project, valued at approximately 1.36 trillion won, marks the first entry of the high-end brand 'Reel' into the northern part of the city.
According to the construction industry on July 5, Lotte Engineering was selected as the final contractor during a general assembly held at the Yerim Art Hall in Gangnam, Seoul. Out of 620 votes cast, Lotte received 451 votes, defeating Daewoo Engineering, which garnered 166 votes. There were three invalid votes.
The Seongsu redevelopment project will create a residential complex with 1,439 housing units and supporting facilities, featuring six underground levels and a maximum height of 64 stories. The total construction cost is estimated at around 1.36 trillion won.
Lotte proposed the name 'Seongsu Reel S70' for the development, leveraging its high-end brand. The design incorporates contributions from renowned architect David Chipperfield and structural engineering firm LERA, along with Lotte's experience in constructing the Lotte World Tower, to appeal to the voters.
The selection of the contractor followed a tumultuous process. The initial bidding in February was declared invalid due to issues with the promotional method and procedures. During the re-bidding, Lotte's proposal to guarantee a minimum relocation fee of 2 billion won faced controversy over potential violations of bidding guidelines. Subsequently, both companies revised and removed problematic proposals, leading to the final contractor selection.
Industry experts believe this outcome will influence the overall development of the Seongsu Strategic Redevelopment Zone. GS Engineering has been selected as the contractor for Seongsu District 1, while Samsung C&T is a leading candidate for District 3. The selection process for District 2 is also underway, indicating that competition for major redevelopment projects in the Seongsu area is expected to intensify.
* This article has been translated by AI.
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