GS E&C (006360) has won a redevelopment project worth more than 400 billion won in Busan's Dongnae district, the Sajik-3 area.
GS E&C signed a construction contract worth 408.23216 billion won with the Sajik-3 Redevelopment Cooperative on the 6th, the company said in a regulatory filing on the 7th. The contract amount excludes value-added tax (VAT) and corresponds to 3.28% of the company's consolidated revenue of 12.4503 trillion won last year.
The project site is located around 411-1 Sajik-dong, Dongnae district, Busan. The development will create nine residential buildings ranging from three basement floors to 33 above-ground floors, totaling 995 units, along with ancillary welfare facilities. The area enjoys high residential preference, bordered by Sajik-dong's prestigious school district and nearby large private academy zones, with proximity to a subway station.
The construction payment follows a "sales-linked" method, in which payments are made according to sales revenue, with no separate down payment or advance payment. GS E&C explained that the contract amount and construction period may change depending on the terms of the future construction contract.
GS E&C has continued an aggressive streak of orders in urban redevelopment projects this year, ranking third among all construction firms in the Ministry of Land, Infrastructure and Transport's (MOLIT) construction capacity evaluation conducted last month. In the first half of this year alone, the company secured a total of 7.4695 trillion won in construction rights, including the Seongsu Strategic Redevelopment Zone District 1 redevelopment (2.1540 trillion won), the Busan Gwangan-5 redevelopment (970.9 billion won), and the Seocho Jinheung Apartment reconstruction (679.3 billion won).
