Korea Railroad Corp. (Korail) President Kim Tae-seung said the company will sell part of the former rail maintenance depot site it owns in Yongsan by 2029 to improve its financial structure.
Kim made the remarks on the 13th during a parliamentary audit by the National Assembly's Land, Infrastructure and Transport Committee, responding to a question from Rep. Kim Mi-ae of the People Power Party about Korail's plans to improve its finances. "If the Yongsan site is developed, the land will be sold, and we plan to sell a certain portion of the Yongsan site by 2029," he said.
The Seoul city government is pursuing the Yongsan International Business District project, which would build office, commercial and residential facilities on the former rail maintenance depot site in Yongsan District. Korail and Seoul Housing & Urban Development Corporation (SH) hold the site at a ratio of 7 to 3, but the project has stalled as the city government and the central government have failed to narrow their differences.
Kim also said Korail merged with SR to benefit the public. "We will do our utmost to ensure that the gains from integrating high-speed rail translate into tangible benefits for the public," he said. "Since the merger, the average number of daily seats has risen by 16,000 and ridership has increased by about 10%," he added. "We will prepare for the launch of KTX services from Incheon and Suwon without disruption and introduce new high-speed trains on schedule."
Kim said the 10% fare discount tied to the high-speed rail merger would be maintained for three years, but on next year's fare increase he said, "Regarding an increase in line with the inflation rate, we will follow the Ministry of Land, Infrastructure and Transport's decision."
On the chaos surrounding Chuseok holiday train ticket sales, he acknowledged that "delays in the project to expand the reservation and ticketing system caused great inconvenience to the public." Asked about criticism that fare evasion is not properly managed during holidays and other periods of surging demand, he said, "We will establish more fundamental measures."