Hyundai Motor’s Global Business Center to be built in eastern Seoul. (image: Hyundai Motor Group)
SEOUL, Jan. 18 (Korea Bizwire) — With increasing uncertainty in the automotive industry as the pandemic drags on, Hyundai Motor Group is facing a dilemma over the construction of its planned Global Business Center (GBC), a life’s dream for honorary chairman Chung Mong-koo.
The world’s fifth-largest automotive group is currently split over whether to build a single 105-story tower, two or three 70-story buildings, or three 50-story buildings.
Sources suggest that Chairman Chung Euisun, known for his practical personality, may be leaning towards constructing multiple, smaller buildings.
Once Hyundai’s modified blueprints are submitted, the Seoul Metropolitan Government will decide if they are equivalent to a change of city management plan or construction plan.
If the new blueprints are seen as changes to the city management plan, the blueprints will be submitted to the city management committee for review.
The original blueprint for the GBC was to build a 105-story tower (569 meters), accommodations and a business center, and five facilities for exhibition, convention, and other performances, on a 74,148-square-meter parcel of land formerly owned by the Korea Electric Power Corp.
Hyundai initially sought to build a 115-story tower, before lowering it to 105 stories in 2015.
If the tower is built, it will surpass the Lotte World Tower (555 meters) to become the country’s tallest building.
Hyundai plans to join hands with an investor for a joint development of the construction project, which is expected to cost approximately 3.7 trillion won (US$3.3 billion). It is likely that Hyundai will set up a special purpose corporation with other investors.
Sources suggest that Hyundai Motor Group is benchmarking the New York Hudson Yard Development Project.
Choosing to build multiple smaller buildings for the GBC would enable Hyundai to save costs as well as time in exchange for the title of South Korea’s tallest tower and landmark.
The company would also be able to save the expense of purchasing a military radar for the Air Force, a commitment made as part of the original development plan, allowing more future investment and strengthening its foothold as a future mobility solution.
H. M. Kang (hmkang@koreabizwire.com)
