Table of Contents
Announcement of the Maintenance Plan and Change Designation for the Geoje1 District Reconstruction Project
Information regarding the reconstruction of Hwasin Geolim Mansion, located at 212-1 Geoje-dong, Yeonje-gu, has garnered attention. The current progress, the area itself, and the viability of the project have intrigued the public. Detailed news about the reconstruction project significantly impacts local residents.
In the Geoje 1-dong area of Yeonje-gu, the groundwork for the Geoje1 reconstruction project has been firmly established. According to the recently announced change to the maintenance plan, the area of the district has been increased.
The changes announced on July 30, 2025, reflect an increase of 16㎡ in the maintenance district from 35,316㎡ to 35,332㎡ due to the expansion of the road No. 3-297. This change is expected to positively influence the progress of the project.
The project involves the construction of 683 units across 4 apartment buildings, reaching from 2 basement floors to 36 floors above ground. The construction company, Lotte Construction, has been independently selected in the assembly meeting. The total proposed construction cost was 180 billion won, with a cost set at 4,958,000 won per 3.3㎡.
However, as of 2025, the current construction costs for reconstruction and redevelopment have skyrocketed to between 6 million and over 7 million won per 3.3㎡. Therefore, it will be necessary to adjust the construction costs upon approval for project implementation or contracting, considering the rising construction costs. Additionally, a reassessment of overall project feasibility may also take place, based on other redevelopment project examples.
Consequently, it is anticipated that factors that may affect the progress of the project will increase in conjunction with these changes.
Lotte Construction plans to introduce specialized designs to create a luxurious complex. The exterior design will utilize a curtain wall look, large pillars, and LED art walls on the sides, with premium finishing materials including European kitchen furniture (ALNO), high-end faucets (Grohe), and bathroom ceramics (Toto) to enhance quality.
The landscaping, community facilities, and system designs are also expected to be composed of specialized elements, and this complex is anticipated to become a symbolic landmark in the future for both Yeonje-gu and Dongnae-gu.
The location conditions are excellent. Both Geoje Station and Jonghap Sports Complex Station of Busan Subway Line 3 are within walking distance, and various living conveniences are well-equipped, including Busan City Hall, Yeonje-gu Office, Sajik Sports Complex, and Oncheoncheon Riverside Park.
Through the recent changes, the maintenance infrastructure will increase from 4,703㎡ to 5,043㎡, a gain of 340㎡, and plans include the renovation of road alignments and the creation of mixed-use paths, which are expected to improve access and vehicle flow in and out of the complex.
The nearby real estate market is estimated at around 670 million won for a dedicated 84㎡ of Yeonje Lotte Castle Daeshiang, based on actual transactions in July 2025. This area is highly likely to transform into a newly built complex, raising expectations for price increases.
Moreover, various redevelopment projects are underway, including Sajik Districts 3, 4, and 5 and a horizontal housing project. The association is currently proceeding with the business execution plan approval procedure following the change in the maintenance plan. Once the permits are completed, plans for management and a schedule for start and completion will be coordinated.
Recommended Posts on Development in Geoje-dong and Sajik-dong
Busan Metropolitan City Announcement No. 2025-305
Announcement of the Maintenance Plan and Change Designation for the Geoje 1 Reconstruction Project
1. The Geoje 1 reconstruction project maintenance district was announced and designated under Busan Metropolitan City Announcement No. 2007-297 (2007.08.10.) and changed under Busan Metropolitan City Announcement No. 2024-9 (2024.01.10.), and according to Article 16 of the Urban and Residential Environment Maintenance Act, the maintenance plan and maintenance district are designated as follows, and the topographic maps of land use regulation are announced according to Article 8 of the Basic Land Use Act and Article 7 of the Enforcement Decree of the same law.
2. Related documents (land connection can be viewed at “http://www.eum.go.kr”) are available at the Urban Maintenance Division of Busan Metropolitan City (☏ 051-888-4242) and the Architecture Division of Yeonje-gu (☏ 051-665-5055) for public viewing (for stakeholders).
July 30, 2025
Mayor of Busan Metropolitan City
Ⅰ. Designation of Maintenance District and Decision on Maintenance Plan
1. Designation of Maintenance District
| Designation Type | Type of Project | Name of District | Location | Area (㎡) | Remarks | ||
| Before | Change | After Change | |||||
| Change | Reconstruction Project | Geoje 1 Reconstruction Project Maintenance District | Area of 212-1 Geoje 1-dong, Yeonje-gu | 35,316 | Increase) 16 | 35,332 | Busan Metropolitan City Announcement No. 2007-297 (07.08.10) |
※ Reason for Change : Area increase due to the establishment of road No. 3-297
2. Estimated Contribution Amount and Calculation Basis by Land Ownership (no change)
3. Decision on Maintenance Plan (Change)
○ Plan on Land Use (Change)
| Type | Before Change | After Change | Remarks | ||||
| Area (㎡) | Ratio (%) | Area (㎡) | Ratio (%) | ||||
| Urban Management Plan Area | Total | 35,316 | 100.0 | 35,332 | 100.0 | Increase) 16㎡ | |
| General Residential Area Type 3 | 33,145 | 93.9 | 33,145 | 93.8 | |||
| Semi-residential Area | 2,171 | 6.1 | 2,187 | 6.2 | Increase) 16㎡ | ||
| Urban Management Plan Area | General Scenic Area | 2,171 | 6.1 | 2,038 | 5.8 | Decrease) 133㎡ | |
| Land Use Plan | Total | 35,316 | 100.0 | 35,332 | 100.0 | Increase) 16㎡ | |
| 【Housing Land】 | 29,618 | 83.9 | 29,294 | 82.9 | Decrease) 324㎡ | ||
| Condominiums and subsidiary welfare facilities | 29,618 | 83.9 | 29,294 | 82.9 | Decrease) 324㎡ | ||
| 【Maintenance Infrastructure】 | 5,698 | 16.1 | 6,038 | 17.1 | Increase) 340㎡ | ||
| Road | 4,703 | 13.3 | 5,043 | 14.3 | Increase) 340㎡ | ||
| Park | 995 | 2.8 | 995 | 2.8 | |||
※ Reason for Change : Area increase due to the establishment of road No. 3-297 and correction of the area of the general scenic area
○ Plan for Changes in Land Use Area
| Type | Area (㎡) | Composition Ratio (%) | Remarks | ||
| Before | Change | After Change | |||
| Total | 35,316 | Increase) 16 | 35,332 | 100.0 | - |
| General Residential Area Type 3 | 33,145 | - | 33,145 | 93.8 | - |
| Semi-residential Area | 2,171 | Increase) 16 | 2,187 | 6.2 | - |
○ Plans regarding the primary use, building coverage ratio, floor area ratio, and height of buildings (changes)
| Type | District Classification | Unit or Plot Classification | Location | Primary Use | Building Coverage Ratio (%) | Floor Area Ratio (%) | Height (m) | Remarks | |||
| Name | Area (㎡) | Name | Area (㎡) | ||||||||
| Before | Geoje 1 Reconstruction Project Maintenance District | 35,316 | Ⅰ-1 | 29,618 | Area of 212-1 Geoje 1-dong, Yeonje-gu | Condominiums and subsidiary welfare facilities | 30 or less | 260 or less | 120 or less | - | |
| Scale and Size Ratio of Housing Construction | •Not applicable | ||||||||||
| Matters Related to the Construction of Rental Housing | •Not applicable | ||||||||||
| Application of Floor Area Ratio Relaxation Criteria | •Based on the relaxation of the floor area ratio regulations, when applying for the business execution plan in the future, the area measured excluding the portion that needs to be voluntarily cessioned for the establishment of maintenance infrastructure shall be used as the measurement standard. •Application of the floor area ratio relaxation regulations as per Busan Metropolitan City's Urban and Residential Environment Maintenance Basic Plan. ※When providing public facilities (roads), the relaxed floor area ratio = 1.5 × (provided area ÷ total area after provision) × 200%【For semi-residential area: 400%】- Provided area: 1,218.0㎡ (within general residential area: 714.5㎡, within semi-residential area: 503.5㎡) - Total area after provision: 29,618㎡ (within general residential area: 28,021㎡, within semi-residential area: 1,597㎡) - Standard floor area ratio: 240% - Average floor area ratio: 266.0%•Planned floor area ratio is planned to be below the appropriate density of 260% as per land use planning. | ||||||||||
| Change | Geoje 1 Reconstruction Project Maintenance District | 35,332 | Ⅰ-1 | 29,294 | Area of 212-1 Geoje 1-dong, Yeonje-gu | Condominiums and subsidiary welfare facilities | 30 or less | 260 or less | 120 or less | - | |
| Scale and Size Ratio of Housing Construction | •Not applicable | ||||||||||
| Matters Related to the Construction of Rental Housing | •Not applicable | ||||||||||
| Application of Floor Area Ratio Relaxation Criteria | •Based on the relaxation of the applicable floor area ratio regulations, the criteria will be based on the area used for development after deducting portions that are to be voluntarily ceded for establishing maintenance infrastructure according to article 97 of the Urban and Residential Environment Maintenance Act when applying for a business implementation plan. •Application of the floor area ratio relaxation regulations as per the Busan Metropolitan City's Urban and Residential Environment Maintenance Basic Plan. ※When providing public facilities (roads), the relaxed floor area ratio = 1.5 × (provided area ÷ total area after provision) × 200%【For semi-residential area: 400%】- Provided area: 1,196.2㎡ (within general residential area: 767.7㎡, within semi-residential area: 428.5㎡) - Total area after provision: 29,294㎡ (within general residential area: 27,801.9㎡, within semi-residential area: 1,492.1㎡) - Standard floor area ratio: 240% - Average floor area ratio: 264.79%•Planned floor area ratio is planned to be below the appropriate density of 260% as per land use planning. | ||||||||||
Type
Announcement
Institution Type
City
Agency
Busan Metropolitan City
Announcement/Notice Number
No. 2025-305
Title
Announcement of the Maintenance Plan and Change Designation for the Geoje 1 Reconstruction Project
Date
July 30, 2025
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Frequently Asked Questions (FAQ)
Q. What are the main changes in the Geoje1 District Reconstruction Project?
The area of the Geoje1 maintenance district has increased by 16㎡ from 35,316㎡ to 35,332㎡ due to road expansion and new establishment.
As announced on July 30, 2025, the area of the Geoje1 District Reconstruction Project in Yeonje-gu has increased by 16㎡ from the previous 35,316㎡ to 35,332㎡ due to the road expansion of No. 3-297 and new establishments within the district. This is expected to positively affect infrastructure improvements and project promotion within the district.
Q. What is the scale of the Geoje1 District Reconstruction Apartment and who is the construction company?
It consists of 683 units across 4 buildings ranging from basement 2 to 36 floors, with Lotte Construction as the builder.
This reconstruction project plans to create a complex of 683 units from basement 2 to 36 floors across 4 buildings. Lotte Construction won the bid as the sole contractor and was selected as the construction company in the association's general assembly. A luxurious specialized design and finishing materials are expected to be introduced.
Q. What are the trends in project costs and construction expenses?
The initial construction cost was 180 billion won, with a cost of 4,958,000 won per 3.3㎡, but it has now risen to over 6 to 7 million won.
The total proposed construction cost at the project's start was approximately 180 billion won, calculated at 4,958,000 won per 3.3㎡; however, as of 2025, the construction costs for reconstruction and redevelopment have surged to a minimum of 6 to over 7 million won per 3.3㎡. Therefore, adjustments in construction costs are likely needed during future project approval or contracting, as well as a re-evaluation of overall project feasibility.
Q. What special design and finishing materials are used in the Geoje1 District Project?
It will feature curtain wall aesthetics, large pillars, LED art walls, and premium European kitchen furniture.
Lotte Construction plans to enhance the exterior with a curtain wall design, large pillars, and LED art walls on the sides. In addition, high-quality finishing materials such as European kitchen furniture (ALNO), Grohe faucets, and Toto bathroom ceramics will enhance quality, while landscaping, community facilities, and system designs will be specialized, aiming to make this complex a landmark in Yeonje-gu.
Q. How is the location and living infrastructure of the reconstruction district?
It is located near Geoje Station and Jonghap Sports Complex Station of Busan Subway Line 3, with administrative, park, and convenience facilities in proximity.
Geoje1 District is easily accessible, being within walking distance of both Geoje Station and Jonghap Sports Complex Station on Busan Subway Line 3, along with an array of living and administrative conveniences such as Busan City Hall, Yeonje-gu Office, Sajik Sports Complex, and Oncheoncheon Riverside Park. Plans for improving maintenance infrastructure and road alignment are also underway to enhance access and vehicle flow in and out of the complex.
Q. What is the current status of the project and future schedule?
The project is currently in the approval process following changes in the maintenance plan, and preparations for construction and completion will begin after obtaining permits.
The Geoje1 Reconstruction Association is currently working on obtaining approval for the business execution plan after completing the announcement of the maintenance plan change. Once permits are finalized, management plans will be established and schedules for construction and completion will be coordinated. The target completion date is expected to be 2030, with the association and construction company collaborating on the project.
Q. What are the current real estate prices and redevelopment trends in the area?
The expected price for a dedicated 84㎡ of Yeonje Lotte Castle Daeshiang is around 670 million won, with various redevelopment projects ongoing.
As of July 2025, the actual transaction price for a dedicated 84㎡ of the nearby Yeonje Lotte Castle Daeshiang is approximately 670 million won. Various redevelopment projects, including Sajik Districts 3 to 5 and horizontal housing projects, are currently active, indicating a likely increase in the regional real estate values.
