Dongbu wins 86.7 billion won Army education facility contract

Dongbu Construction announced Wednesday it has won a build-transfer-lease (BTL) contract issued by the Ministry of National Defense to construct Army education facilities.

The project aims to replace aging military training infrastructure and improve living conditions and educational environments for trainees. Because BTL projects involve long-term, stable operation of high-public-interest facilities, a construction company's project management capability, financial stability and construction quality are key evaluation criteria.

The site is in Haksong-ri, Samseo-myeon, Jangseong-gun, South Jeolla Province. Dongbu Construction will build three trainee dormitory buildings with a total floor area of 24,602 square meters spanning one below-ground floor and four above-ground floors, along with a single-story military dining hall.

The total project cost is about 86.7 billion won ($56.4 million), with a construction period of approximately 31 months from the ground-breaking date. Dongbu Construction said the contract win reflects recognition of its non-residential construction capabilities in the specialized field of military education facilities.

Military education facilities require comprehensive consideration of trainees' daily convenience, group movement flows, operational efficiency, security and safety — demanding more precise spatial planning and construction management than standard buildings.

Dongbu Construction earned high marks for proposing a spatial layout tailored to the characteristics of military education facilities and demonstrating reliable project execution. Its plan to optimize daily movement flows and facility utilization so that the dormitories and dining hall can operate efficiently also contributed to its competitive edge.

Dongbu Construction has been expanding its presence in non-residential construction sectors that require specialized expertise, including military facilities, education, healthcare and cultural projects. The company currently holds an order backlog of about 1.5 trillion won in those construction segments alone.

Its track record includes military facility projects such as the new Defense Acquisition Program Administration headquarters and the Army Donghwacheon officer quarters BTL. The company is also building a portfolio in education and research facilities — including Seoul National University, Dongguk University, Jeonbuk National University and the Institute for Basic Science — as well as medical facilities such as the National Cancer Center, the National Fire Service Hospital and Gunsan Jeonbuk National University Hospital.

Meanwhile, Dongbu Construction posted improved earnings last year. Sales rose to 1.76 trillion won, up 70.3 billion won from the previous year, while operating profit came in at 42.6 billion won — a turnaround from an operating loss of 96.9 billion won the year before.