Seoul is once again attempting to sell a prime development site in the Sangam-dong district, marking the seventh effort to attract investors to the Digital Media City (DMC) Landmark Site. The , announcement by the Seoul Metropolitan Government signals a further loosening of restrictions in an attempt to overcome obstacles that have stalled the project for over two decades.
The 37,262-square-meter site, located in Mapo-gu, has remained vacant since the early 2000s when initial plans envisioned Korea’s tallest building – a structure exceeding 100 floors – as a centerpiece of the burgeoning DMC. Despite ambitious proposals and significant projected investment, no sale has materialized, with six previous attempts ending in failure. The most recent unsuccessful bid occurred in 2024.
A key impediment to previous sales has been concerns over project feasibility, particularly in the context of fluctuating economic conditions and tightening financial markets. To address these concerns, the Seoul Metropolitan Government is now relaxing the previously imposed upper limit on residential ratios within the development. This move is intended to broaden the appeal of the site to a wider range of business operators and developers, allowing for a greater proportion of apartments and officetels to be incorporated into potential projects.
The decision to ease residential restrictions comes after a prolonged period of difficulty securing investment. In 2008, a consortium led by Daewoo Engineering & Construction, known as Seoul Light Tower, was initially selected as the preferred bidder, pledging an investment of 3.7 trillion won to construct a 133-story building. However, the consortium was unable to secure the necessary financing following the 2008 global financial crisis, leading to the termination of the contract in 2012.
The city government intends to issue a sales notice for the DMC landmark site within the first half of . While the maximum building height will remain subject to existing regulations requiring a supertall or landmark structure, the increased flexibility regarding residential space is expected to significantly enhance the attractiveness of the project to potential investors.
The revised district unit plan incorporating these changes is currently undergoing deliberation by the city’s Urban and Architecture Joint Committee. Approval by this committee is a necessary step before the sales notice can be officially released.
The move to revitalize the DMC Landmark Site is part of a broader initiative by the Seoul Metropolitan Government to transform the Sangam-dong area into a “Fun City” specializing in media and entertainment businesses. Announced in April 2025, this master plan encompasses the DMC, World Cup Park, and the Han River, aiming to shift Sangam’s identity from a purely “digital media” hub to a “smart media” industrial center.
The “Fun City” project envisions integrating currently disconnected urban spaces, improving connectivity between key sites, and blending riverside and green spaces with new cultural content. The initial phase of this project will focus on the redevelopment of areas surrounding the Oil Tank Culture Park and the Mapo Agricultural and Marine Products Market, creating a corridor stretching towards Seoul World Cup Stadium and Peace Park.
The ongoing difficulties in selling the DMC Landmark Site reflect broader challenges within the South Korean real estate market. The failure of the sixth sales attempt in 2025 was attributed to a “frozen” real estate financing (PF) market, which has significantly curtailed investment in new development projects. The easing of residential ratio restrictions is therefore seen as a direct response to these market conditions, aimed at stimulating interest and attracting much-needed capital.
The Seoul Metropolitan Government’s decision to abandon its long-held ambition of constructing a building exceeding 100 stories on the site, announced in July 2024, further underscores the pragmatic shift in approach. This decision, made after four unsuccessful bidding rounds, acknowledges the rising costs of construction and the increasing difficulties in securing funding for such a large-scale project.
The future of the DMC Landmark Site remains uncertain, but the latest move by the Seoul Metropolitan Government represents a significant attempt to overcome the obstacles that have plagued the project for over two decades. The success of this seventh sales attempt will likely depend on the extent to which the relaxed restrictions can attract investors and unlock the potential of this strategically important site in the heart of Seoul’s digital media district.
