A redevelopment project for Gileum Market in Seongbuk-gu, Seoul — stalled for nearly two decades — is back on track after union members voted to approve an asset distribution plan. With 96 percent voting in favor, the long-delayed project can now move forward with relocation and demolition.
The Gileum Market Redevelopment Union, led by chairman Oh Jung-hwan, plans to seek approval of the asset distribution plan while making some design revisions in parallel, then proceed with relocation and demolition ahead of a targeted 2028 ground-breaking.
Gileum Market is a traditional market established in 1972. More than 50 years after it opened, the facility has faced persistent concerns over aging infrastructure and safety. As the market's commercial function and local competitiveness declined, a redevelopment project was launched under the Special Act on the Promotion of Traditional Markets and Shopping Districts to create a mixed-use residential and commercial complex.
The project began in 2006 but made little progress for years due to complicated ownership disputes, conflicts among merchants, and the bankruptcy and financial difficulties of the project developer. The project found a path to normalization in September 2020, when the promotion plan received approval.
The union was established in December of that year, and in November 2021 selected Hoban Construction as the contractor. The project subsequently cleared a traffic impact assessment in April 2022, an architectural review in March 2023, and project implementation approval, followed by a pre-sale application process for union members. The asset distribution plan was then approved at a general assembly meeting on June 20.
"The 96 percent approval rate reflects union members' conviction that this project cannot be delayed any further," Oh said. "We will carry out the asset distribution plan approval, relocation and demolition without a hitch, address any necessary design revisions along the way, and meet our 2028 ground-breaking target."
The project site covers approximately 10,513 square meters in the Gireum-dong 535-8 area of Seongbuk-gu. Under the plan, three apartment buildings ranging from six below-ground floors to 28 above-ground floors will be built, along with a neighborhood commercial facility spanning about 19,800 square meters.
A total of 320 units are planned — 243 with an exclusive use area under 60 square meters, 73 between 60 and 85 square meters, and four exceeding 85 square meters. Of the total, 213 units are slated for general pre-sale, a figure analysts say points to solid project viability.
The project came close to collapse at one point. Under the Special Act on Traditional Markets, a project can lose its approval status if it fails to obtain implementation approval within a set period after the promotion plan is approved.
The union filed an administrative lawsuit over the potential lapse of the project promotion plan. The Seoul Administrative Court ruled that the union's application to amend the promotion plan could be interpreted as including a request to defer the lapse. Seoul Metropolitan Government then chose not to appeal, clearing the way for the project to resume on a normal footing.
The process was also complicated by repeated complaints, lawsuits and criminal complaints filed by some union members. The union said some of those complaints were dismissed without charges, and that the vast majority of members now support moving the project forward as quickly as possible.
Following approval of the asset distribution plan, the union intends to begin relocation and demolition in earnest while pursuing some design changes in parallel, with the goal of breaking ground in 2028.
7toy7@heraldcorp.com
