Land costs to be discounted at Sejong
Published: 05 Jan. 2010, 20:13
In a draft of the redesigned Sejong City development project, the Prime Minister’s Office said yesterday it plans to provide land for large-sized enterprises and universities relocating to the South Chungcheong city at discounted prices.
According to the draft confirmed at the private-public cooperative committee on Sejong, the land to be sold to larger firms and universities will cost between 360,000 won ($316) and 400,000 won per 3.3 square meters (35.5 square feet), up to 400,000 won cheaper than the prices for industrial complexes in neighboring areas. The incentives came after companies considering moving into the city complained that the initially designated price of 2.27 million won per 3.3 square meters was high.
The land measurement of 3.3 square meters is equal to one pyeong, traditionally the most frequently used standard in Korea. Universities and large companies will be offered a combined 500,000 square meters of land at the minimum. Land for sale to smaller firms will cost from around 500,000 won to 1 million won per pyeong, while think tanks will be able to buy land for 1 million won to 2 million won per pyeong. Larger companies will be granted the right to develop facilities to improve living standards to lure employees.
Other incentives will include tax breaks for both foreign and domestic companies. They will also be exempted from land lease fees and be offered government subsidies for job training. They could opt instead for cash rewards of up to 7 billion won.
Since there will be no tax collection system at the time of the city’s launch, the central government will cover tax breaks, and local governments will gradually raise their burden, the minister’s office said. Speculation is high that Woongjin Group and a Samsung subsidiary interested in advancing into the medical and pharmaceutical industries are considering the move, but the minister’s office said nothing has been confirmed yet.
The former Roh Moo-hyun administration came up with the Sejong project, with the aim of developing it into an administrative capital home to nine ministries and other government agencies.
By Seo Ji-eun [[email protected]]
According to the draft confirmed at the private-public cooperative committee on Sejong, the land to be sold to larger firms and universities will cost between 360,000 won ($316) and 400,000 won per 3.3 square meters (35.5 square feet), up to 400,000 won cheaper than the prices for industrial complexes in neighboring areas. The incentives came after companies considering moving into the city complained that the initially designated price of 2.27 million won per 3.3 square meters was high.
The land measurement of 3.3 square meters is equal to one pyeong, traditionally the most frequently used standard in Korea. Universities and large companies will be offered a combined 500,000 square meters of land at the minimum. Land for sale to smaller firms will cost from around 500,000 won to 1 million won per pyeong, while think tanks will be able to buy land for 1 million won to 2 million won per pyeong. Larger companies will be granted the right to develop facilities to improve living standards to lure employees.
Other incentives will include tax breaks for both foreign and domestic companies. They will also be exempted from land lease fees and be offered government subsidies for job training. They could opt instead for cash rewards of up to 7 billion won.
Since there will be no tax collection system at the time of the city’s launch, the central government will cover tax breaks, and local governments will gradually raise their burden, the minister’s office said. Speculation is high that Woongjin Group and a Samsung subsidiary interested in advancing into the medical and pharmaceutical industries are considering the move, but the minister’s office said nothing has been confirmed yet.
The former Roh Moo-hyun administration came up with the Sejong project, with the aim of developing it into an administrative capital home to nine ministries and other government agencies.
By Seo Ji-eun [[email protected]]
with the Korea JoongAng Daily
To write comments, please log in to one of the accounts.
Standards Board Policy (0/250자)