Incheon, South Korea August 11, 2009 The global launch of the pictorial history Chemulpo to Songdo IBD: Korea’s International Gateway took place on Thursday August 6 at Incheon Korea’s historic Chemulpo Club. Hosted by author Don Southerton and sponsored by Gale International, the event was attended by notables including Incheon Mayor Ahn Sang-soo, Gale International chairman Stan Gale, and former Ambassador Donald Gregg. Also attending were local officials, Korean and American guests, and the media.
Chemulpo to Songdo IBD: Korea’s International Gateway documents 125 years of life in the port area through first hand accounts and historic photographs. Fittingly, the book’s launch was held at the foreign settlement’s former gentleman’s club, which was built in1901.
After warm opening remarks by Stan Gale, author Southerton shared his inspiration for writing the book—one built on collaboration. In fact, Southerton noted the early trade settlement and surroundings were home to Europeans, Americans, Japanese, Chinese, and Koreans. Likewise, the book was a collaboration of Korean and American teams. Building on this theme Southerton pointed out that today’s nearby Songdo International Business District (IBD) was, too, a diverse international collaboration of firms including Gale International, POSCO E&C, Kohn Pederson Fox, and most recently CISCO.
Joining Southerton on the podium, Mayor Ahn Sang-soo was presented with a copy of the book. The mayor then shared his vision for the city becoming one of the world’s top ten cities.
Following the book presentation, Southerton, conducted a tour for the American VIPs of Jayu Park and the historic Chinatown district.
Plans call for the book to be donated to Korea-focused organizations and universities in the U.S. and Korea. A full schedule of book promotion events is also planned.
About the Author Don Southerton has held a life-long interest in Korea and its rich culture. His previous books center on culture, entrepreneurialism, and early U.S.-Korean business ventures. Southerton extensively writes and comments on modern Korean business culture and its impact on global organizations. His firm, Bridging Culture Worldwide, provides consulting and training to Korea-based global business.
About Gale International Gale International is a premier international real estate investment and development company with headquarters in New York and offices in Boston; Irvine, California; Seoul and Songdo, South Korea.
Breaking News, Songdo IBD Korea The August 6, 2009 Korea launch of Chemulpo to Songdo IBD was attended by a huge crowd including including Incheon Mayor Ahn Sang-soo, Stan Gale- Chairman Gale International, former Ambassador Donald Gregg, local officials, Korean and American VIP guests, and media.
The event took place in the historic former Chemulpo Club, a gentleman’s club built in 1901. Following the book presentation, author Don Southerton, conducted a tour for the American VIPs of Jayu Park and the historic Chinatown district.
By Don Southerton, Songdo IBD CityTalk Editor and Chief Blogger
Last year, I learned about 789–the August 7, 2009 kick-off date for the Incheon Global Fair and Festival. With many activities centered in and around Songdo IBD, I follow the event. This Korea Times article notes some of the fair’s planning.
With nearly 100 days left before the kick off of the Global Fair and Festival 2009, host city Incheon’s preparations for the 80-day business fair for corporations and cities around the world have been shifted into high gear.
Songdo International City, in the west of the coastal city, and its adjacent area, is shaping up for the event, which aims at envisioning futuristic urban models, digital technologies, green energy and urban lifestyles. It will start Aug. 7 and continue until Oct. 25.
Mayor Ahn Sang-soo said, “Incheon has had few opportunities to promote itself elsewhere. This event will lay the groundwork for the city to grow into one of the 10 global cities one must visit.”
The organizing committee for the festival said construction of every venue will be completed by May. “All preparations are on track,” a committee official said.
Despite the ongoing economic slump, the committee said it’s attracting investment and raising funds as planned.
Incheon aims to draw more than seven million people from home and abroad ㅡ nearly one third of the combined population of Seoul, Gyeonggi Province, and Incheon and the committee has run various promotional campaigns in cooperation with civic groups and companies.
The festival will become a venue for global firms, scholars, policymakers and urban planners to gather and discuss important issues regarding urbanization, futurism and the environment.
Incheon will continue to expand publicity for the fair via the Internet, TV and other media. “We’ll step up the promotional campaign,” the official said. “World-class cultural events will take place, various leisure activities will be available in an environmentally friendly manner and executives of multinational corporations will flock here. It will be a festival you won’t want to miss.”
The committee expects admission ticket sales to exceed 40 billion won ($33 million).
The festival will appeal to foreign tourists as the city is upgrading accommodation, transport, roads and other infrastructure for them to enjoy the festival more comfortably. “We aim to draw half a million foreign tourists, particularly from Japan, China, and the United States,” the official said.
It has formed business partnerships with travel agencies at home and abroad to attract foreign travelers and developed travel programs with itineraries including the venue.
The committee is pinning its hope on a weaker won against the dollar and other major currencies, which will help attract foreign tourists.
The city also aims to use the festival as a springboard to attract more investment into the free economic zones in the districts of Songdo, Cheongna and Yeongjong. During the festival, foreign urban planners and policymakers will be able to learn more about Incheon’s development models. The city itself will be an exhibition site, the official said.
By Don Southerton, Songdo IBD CityTalk Editor and Chief Blogger
Korea media notes that Cisco Systems, the world’s No. 1 network equipment maker and the Songdo IBD have signed a MOU to develop the Cisco Global Center for Intelligent Urbanization (CGCIU). The U.S. network equipment maker will provide technologies for energy saving and urban management.
Cisco Chairman John Chambers pointed out that the Songdo IBD project would launch Cisco’s vision of advanced integrated urban management network technology, which goal is to improve the quality of living.
Gale International Chairman Stan Gale shared that Cisco’s decision to select Songdo IBD for the CGCIU world headquarters highlights Songdo IBD’s ability to attract leading global companies to South Korea, which in turn will spur growth and create jobs.
By Don Southerton, Songdo IBD CityTalk Editor and Chief Blogger
The Korean press frequently shares Incheon Free Economic Zone’s (IFEZ) amazing progress. At the heart is Songdo IBD. This Korea Herald article does a great job pointing out that within the greater IFEZ, Songdo is one of three districts. Within Songdo is the international hub–Songdo IBD–which includes among a number of high profile projects, the International School, Jack Nicklaus Golf course and community, Central Park, 1st World Towers, and the Northeast Trade Center.
Korea Herald notes:
The Incheon Free Economic Zone has begun to take shape as a new global financial and logistics hub in Northeast Asia with the first phase of its development project scheduled to be completed this year.
The planned city, some 30 kilometers west of Seoul, features a working and living environment built to meet the standards of global companies.
The first phase of the project included reclamation work that has created 12.11 million square meters of coastal land and completion of infrastructure facilities for mass transportation and quality living.
Once this new infrastructure is established this year, Incheon aims to create new jobs by attracting multinational companies.
The IFEZ, an hour’s drive from Seoul, will bring a shift in the region from being manufacturing-based to knowledge-based, and foster a value-added industry by establishing a service-oriented infrastructure, the IFEZ Authority said.
The IFEZ will be comprised of three major districts, each taking on a special function. Songdo will serve the biomedical field and global education institutions; Yeongjong will function as a transportation and logistics hub; and Cheongna will host a robot-themed amusement park. Since its establishment in 2003, the IFEZ has signed a total of 41 memoranda of understanding for a combined $57.9 billion in foreign direct investment, the IFEZ Authority said.
Songdo has been selected by the government to be developed into a state-of-the-art medical and welfare complex by 2020 – a project worth 3 trillion won in government investment. Songdo is aiming to build top-notch infrastructure that would make it a people-friendly and health-oriented district.
Songdo sits on more than 13,047 acres and it is expected to be developed into six main clusters: international business center [commonly referred to as Songdo IBD], knowledge-based industry complex, biotech complex, information technology cluster, international academic complex and the Incheon new port.
Starting July this year, underground trains will start to connect Songdo and Incheon. Songdo International School, which will run kindergarten, elementary, middle and high schools is scheduled to open in September. A 405,000-square-meter central park located in the center of Songdo International Business District will be completed in June.
In addition, with the 12.3-kilometer bridge to be completed in October this year, the IFEZ will be only 15 minutes away from Incheon International Airport. The Incheon Bridge currently being built by a construction unit of Samsung C&T is to be the world’s fifth longest cable-stayed bridge. The construction will cost 2.5 trillion won, the authority said.
Even with the blueprints for the IFEZ, the lack of government support in building infrastructure and remaining regulations is making it hard for the IFEZ Authority to lure foreign investment, especially in times of economic decline, the office said.
“FEZs are supposed to offer a business-friendly environment as well as favorable tax breaks and other benefits to foreign investors. But not in FEZs in Korea,” an official of the IFEZ Authority said.
“The government also needs to simplify all the administrative work suitable for foreign investors,” he added.
In his annual Chairman’s Message Stan Gale commented on past accomplishments, current challenges, and future opportunity. In sum, for 2009 Gale and Songdo IBD plan to go Full Speed Ahead.
Annual Message
Gale International Chairman Stan Gale expressed satisfaction from himself and CEO John Hynes that preparations in recent years have positioned the company well to weather the current global economic crisis.He expects 2009 to show continued progress on current projects and expects to capitalize on emerging opportunities as the need for large-scale urban development grows globally.
To our valued Employees, Investor and Development Partners:
Gale International traces its roots back to 1922, having pioneered innovative real estate developments in both up and down markets.The growth and evolution of our company is now focused on city scale multi use development.These business and living environments are designed to attract foreign investment and international commerce.They will serve as an engine for sustainable development and financial stability for the people and the markets they serve.As we look to the future, let me point to several areas of focus for our company.
Stay the Course
I encourage every Gale International employee, and our partners to continue to work “full speed ahead.”We are well positioned to keep projects underway and strengthen the economies in which we operate.Today, more than 20,000 people are gainfully employed, making a good living, as a result of our international initiatives.
Continued Project Progress
In the United States, plans for the 23-acre, $3 billion Seaport Square development in Boston are well underway, with construction work on the first mixed use block set to commence in mid-2009.Key leases are being negotiated and it is expected construction will start on the $700 million One Franklin project. We are also proud of our contribution in bringing the New York Jets training facility to Florham Park, New Jersey.
In Korea, work continues at an accelerated pace on the Songdo IBD. As you read this letter, over 30 projects and 50 buildings are underway representing an investment of over $10 Billion.A total of fourteen projects were started in 2008. This past October, we were proud to attend the opening of the Songdo Convensia convention center. Thousands of Korean and international visitors are getting a dramatic first look at Songdo IBD through the soaring windows of the Convensia lobby. The First World towers will welcome their first tenants in the first quarter of 2009 and tours are running through the Songdo International School. Preparation is well underway for Songdo IBD’s “Grand Opening,” which will coincide with the 2009 Global Fair and Festival and the opening of Incheon Grand Bridge, connecting Songdo IBD with the Incheon International Airport and the world beyond.
Focus on Sustainability
Gale International is committed to sustainable design and development.Sustainability means that Gale International projects will be more energy efficient, environmentally friendly and economically rewarding.Sustainability is proving to be a bulwark in a down market, maintaining market value as non-sustainable project returns erode.We are dedicated to enhancing the ability of our developments to carry themselves from both a revenue and long term cost perspective.
Partnerships for Global Expansion
The sustainability initiative has also allowed us to assemble an impressive list of strategic alliance partners.Business relationships have been forged with global leaders; companies like UTC, 3M, Microsoft and GE. This is in addition to existing partners Posco E&C and LGCNS.In 2008, we created the Sustainable International Development Team (SIDT).This includes a comprehensive list of investment partners, architects, engineers and consultants.Quality of life partners like Taubman and Jack Nicklaus also play an important role in the SIDT.The stated mission of the team is to dedicate its collective expertise to reduce the cost and development time of state-of-the-art sustainable city scale projects around the world.
Alignment of Interests
Periods of downturn often have the positive effect of aligning interests.We are committed to improving communication with our public and private sector partners to identify opportunities to ensure continued business growth.Every aspect of operations is being examined and evaluated.Our partners are doing the same.We see positive signs that the communities in which we operate are equally committed to keep the momentum gained to date going, despite economic challenges.For example, the city of Boston recently pronounced its intent to invest in local projects identified as crucial to the success of the city’s redevelopment initiatives.Our One Franklin (Filenes) project was singled out by Mayor Thomas Menino as a project particularly worthy of community support.No doubt, continued public sector support and local investment in our projects both in the US and in Korea will help to jump start slowing economies and spur job growth.
Gale International: 2009 and Beyond
As a result of the impressive progress in Songdo IBD, Gale International is considering development opportunities for future city scale projects.Enlightened government officials in burgeoning and evolving nations like China, India, Ireland, Saudi Arabia, Iraq, Vietnam and Turkey are assuming a proactive leadership role in the creation of new urban models.The Songdo IBD experience and SIDT make Gale Internationaland our partners uniquely qualified to assist in these developments.
The projects Gale International is proud to work on every day are not conceptual; they are thriving developments which present a unique, opportunity to set the standard for how future cities should be constructed.They are playing an important role in the evolving global economy.In this time of inertia, there is a distinct need for action.No doubt, there are many opportunities ahead for Gale International, our investors and development partners.From here we go “Full Speed Ahead.”
Chinese Media notes… Gale International is a large-sized & high-end international real estate development and investment company, with its representative projects including Seaport Square and Franklin Street in Boston, and Songdo International City in Korea. Last September, Secretary Zhang Chunxian paid a special visit to the Songdo International City in Korea, and sincerely invited Gale International to invest on projects of the same kind in Hunan, after which, the two parties began with the advance-phase preparation for the cooperative project of Changsha Meixi Lake Sci-Tech Innovation Center.
Zhang warmly welcomed Chairman Stanley Gale and his delegation. Zhang said that the concept of ecological and excellent life of Songdo International City in Korea had greatly impressed him. Nowadays, Hunan is facing up a great and precious opportunity, that is, Changsha, Zhuzhou and Xiangtan have been approved as China’s Comprehensive Reform Pilot Area of ‘Two-oriented’ Society construction. Hunan is making use of its advantages in geography, scientific research and market consumption as well as the sound natural scenery to step up the research on and development of Changsha Meixi Lake Sci-Tech Innovation Center, aiming at a first-rate international center featured by the research and development of high-end technology, and an international ecological & innovative city with multifunction of modern business, top-grade housing, leisure and vacationing.
Hunan warmly welcomes the Gale International to join in the investment and construction of Meixi Lake Project, to whom, Hunan provincial CPC committee and Hunan people’s government will grant full support, said Zhang.
Chairman Stanley Gale said that he led his advisory group to Changsha for a field investigation on the Meixi Lake Project for more substantial progress. He said that he is also expecting to establish a long-term cooperative relationship with Hunan.
Chen Run’er, member of the Standing Committee of the Hunan Provincial CPC Committee & secretary of the Changsha City CPC Committee accompanied the meeting. Source: www.hunan.gov.cn
By Don Southerton, Songdo IBD CityTalk Editor and Chief Blogger
A key aspect of Songdo IBD CityTalk will be commentary, breaking news, and first-hand accounts of the Songdo IBD project. We will try to minimize re-cycling news on Songdo IBD, except when we feel it will promote dialogue. I begin with some commentary.
Full Throttle
Reflecting on my trip to Korea last week, I did see concerns on the economy. For one, firms and businesses are more reserved this year with their holiday decorations. My contacts in many of Korea’s top Groups feel there will be some downsizing and layoffs—the first in ten years. Despite the global economic downturn, some leaders see opportunity. Hyundai-Kia Motors Chairman Chung Mong Koo last week noted the need for the company to “go full throttle” at a time when some in the industry are in turmoil. Chung noted Hyundai-Kia would focus on small cars and Green technology. Hyundai vowed to provide decent jobs and help the national economy.
Songdo IBD Full Speed Ahead
What did stand out last week was the huge concern that foreign investors are pulling out of Korea. Interestingly, this is not so with Songdo IBD. In contrast, the project is moving forward as planned. For example, 2009 will see the completion of the 7.4 mile Incheon Bridge along with the 1st phase of the Songdo IBD, including the 100 acre Central Park and Jack Nicklaus Golf Club Korea. To me, borrowing from the words of Chairman Stan Gale it looks like “ Full Speed Ahead,” for Gale International and Songdo IBD.
