Large-scale tech investment lifts Gumi's economy and housing market

Gumi, North Gyeongsang Province, is regaining economic momentum on the back of large-scale investment in advanced industries, with growth spreading from semiconductors and defense to robotics and AI and strengthening the city's standing as an industrial hub.

According to Gumi City, Mayor Kim Jang-ho has made corporate attraction a central policy priority since taking office in the eighth directly elected term, securing a defense innovation cluster, a national strategic industry specialized complex for semiconductor materials and components, an education development zone and an opportunity development zone. This year the city was also designated a national strategic industry specialized complex for robotics.

Through those efforts, Gumi attracted 16.16 trillion won ($12 billion) in investment from more than 1,140 companies and created 12,346 jobs during the eighth term.

Investment has continued into the ninth term. Samsung Electronics and Samsung SDS announced a 19 trillion won investment plan for Gumi that includes a humanoid robot mass-production line and an AI data center, raising expectations for further expansion of the city's advanced-industry ecosystem.

Economic indicators have improved alongside industrial growth. Exports handled by the Gumi Customs Office reached $21.38 billion in the first half of this year, up 66.1 percent from the same period last year, while the employment rate rose 2.7 percentage points to 64.0 percent.

The warmth from industrial growth is spreading to the housing market. Unsold apartment units in Gumi stood at 557 as of the end of September, down 73.5 percent from the same period last year.

Apartment transactions from January through August also rose 13.9 percent year on year to 5,344 deals.

Expectations for improved residential conditions are further buoyed by two upcoming projects: the Kkotdongsan Park development — the city's first private park special project — and the planned supply of the Gumi Park One Daesiang residential complex.

Taeyoung Engineering & Construction plans to develop a park of about 550,000 square meters in the Doryang-dong area.

Gumi City is also channeling efforts into improving everyday economic conditions and residential quality of life, aiming to ensure that industrial investment gains translate into a more vibrant local economy and better living standards for residents.

"Given Gumi's characteristics — where corporate investment and job growth feed directly into housing demand — the combination of expanding advanced-industry investment and improving residential conditions is expected to sustain the housing market's recovery," a local real estate industry official said.