Regulation stalls Korea’s Paju’s plan to build ‘Ferrari World’ for 3 years

March 28, 2014 Leave a comment

Regulation stalls Paju’s plan to build ‘Ferrari World’ for 3 years
Chae Soo-hwan
2014.03.19 17:43:56
The Paju city’s government announced in 2011 it would build the Ferrari-themed amusement park “Ferrari World” at Baekseok-ri, a location near the railway Wollong Station on the Gyeongui Line, in the city in Gyeonggi province.

But crusty regulation concerning the Seoul metropolitan area and military facility protection and failure to attract investment at home and abroad have suspended progress in the project for three years.
Early this week, Spain announced it signed a business contract with Italy-based Ferrari and would open a Ferrari World in Barcelona by 2016. As a result, the second Ferrari World will be established following the first Ferrari World that opened in Abu Dhabi, United Arab Emirates, in 2010.
Paju was pushed aside in favor of Spain in the competition to attract the amusement park because the Seoul metropolitan area development law, military facility protection law and special US military facility land law cast cloud over investment outlook, driving away domestic and foreign investors.
Paju signed a memorandum of understanding (MOU) in 2011 and said it would invest 1.6 trillion won ($1.4 billion) in total to build a theme park accommodating estimated 40 complexes such as amusement park, car exhibition and luxurious hotels on a 3.7 million square meter land in Baekseok-ri. Following the announcement, South Korean companies such as LG Electronics, GS Engineering and Construction and Woori Bank, as well as foreign investors showed interests. But they have recently withdrew their intention to conduct business or adopted a wait-and-see stance, delaying the projects for the initial phase such as land compensation and infrastructure construction.

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