GWANGJU < invest Korea

According to Pulse by Maeil Business News Korea,

South Korean retailer Shinsegae Group has joined hands with Kumho Group to create a multi-purpose complex in Gwangju, South Jeolla Province, by connecting its department store with a bus terminal to offer consumer experiences that encompass shopping, culture, and the arts.

Gwangju Metropolitan City, Shinsegae Group, and Kumho Group signed a memorandum of understanding (MoU) on Monday at Gwangju City Hall to collaborate on the expansion of Gwangju Shinsegae Department Store.

Under the MoU, the parties will work towards developing the department store and nearby bus terminal into landmark facilities. The agreement also outlines measures for regional development, such as prioritizing the hiring of local residents.

With this agreement, the initial plan to upgrade the Gwangju Shinsegae Department Store has effectively been abandoned.

Gwangju Shinsegae Department Store had planned to invest 900 billion won ($691 million) to construct a new department store, quadrupling the retail space.

The proposed site was the land currently occupied by E-mart Inc. and former model housing sites near the department store.

However, the plan faced a hurdle last month when the Gwangju City’s urban planning and architecture joint committee decided it needed a re-review, issuing seven supplementary opinions.

In response to the committee’s decision, Gwangju Shinsegae Department Store revised its plan and announced the new proposal.

Under the new plan, the usable retail space for the department store is expected to nearly triple to 109,091 square meters from the current 37,025 square meters, making it the second-largest in size after Shinsegae’s Centum City branch in Busan.

Gwangju Shinsegae Department Store plans to have 1,000 brands, up from the current 530, once new facilities open in the first half of 2028.

By Park Hong-joo and Chang Iou-chung

Copyrights Pulse by Maeil Business News Korea. All Rights Reserved.

Source: Pulse by Maeil Business News Korea (November 28, 2023)