Heerim Wins CM Contract for 5,850-Home Eungma Reconstruction

Three-Line Briefing

• The Heerim–HanmiGlobal consortium was selected, after a three-way competition, as the construction-management partner for the Eungma Apartment redevelopment in Daechi-dong, Seoul.
• After redevelopment, Eungma Apartment is planned to comprise six basement levels, 49 floors above ground, 29 buildings and a total of 5,850 homes.
• Heerim will participate from design and permitting through construction-cost verification and support for the general-sale plan. The actual contract scope and impact on the order backlog matter more than the complex’s name value.

What Is Changing

Heerim’s CM win at Eungma Apartment is more than simply adding another Gangnam redevelopment project. The key change for investors is that, even after completing permitting, the designer will continue participating in project-cost and schedule management, expanding its role within the project. Work that might have ended with design revenue now extends into follow-on project management.

CM stands for construction management, a service that supports the client by managing construction costs, schedules, quality and project procedures. According to a Maeil Business Newspaper report dated September 9, 2026, the Eungma Apartment redevelopment association evaluated three bidding participants and selected the Heerim–HanmiGlobal consortium as its final construction-management partner.

Heerim handled the initial maintenance plan, design and various permits, building up the project’s drawings and administrative record. This experience provides a basis for quickly assessing the impact of design changes and cost items in later stages. However, the association’s selection announcement alone does not prove that future cost savings or schedule reductions will be achieved.

Numbers and Context

The Eungma Apartment redevelopment passed an integrated review of the maintenance project in February 2026 and received approval for its project implementation plan in July of the same year. Heerim said the integrated review took two months and project-implementation approval took 41 days. Once completed, the complex will be transformed into 29 buildings of up to 49 floors, with 5,850 homes.

Project-implementation approval is the administrative process for approving the building plan and the implementation details of a maintenance project. The contractor’s main contract, the management-and-disposal plan, relocation and demolition will follow. Heerim is expected to identify value-engineering items that lower costs while maintaining quality, verify construction-cost appropriateness and support the general-sale plan.

One easily overlooked point is that 5,850 homes does not represent Heerim’s revenue scale. The materials provided do not state the contract amount, the consortium’s internal allocation of responsibilities or the service period. The contribution to earnings can be calculated only after a subsequent contract disclosure or quarterly report reveals how much is added to the order backlog.

Beneficiary and Affected Stocks

• Heerim: By linking its existing design and permitting work to CM, it expanded the value chain it handles within a single project. Alongside Apgujeong District 3, Banpo Mido 1, Hannam Heights and Mokdong complexes 1, 12 and 14, it added another maintenance-project track record and secured an example of the DCM model combining design and project management.
• HanmiGlobal: It formed a consortium with Heerim and was selected as a CM partner. Construction-cost verification and project-procedure management are expected to follow, but the fee allocation between the two companies has not been disclosed.
• Architectural design and project-management industry sector: The selection confirms demand for specialized management in large redevelopments where construction costs and schedules are complex. There is no basis for extending this single case into an expectation of broader order growth for other companies.

Risk Check

• Follow-on procedures: Project-implementation approval has been secured, but the contractor’s main contract, the management-and-disposal plan, relocation and demolition remain. If the schedule slips, the execution and revenue recognition of related services will also be delayed.
• Construction-cost negotiations: VE and appropriateness checks are tools for controlling the association’s burden. Conversely, if quality requirements clash with adjustments to construction costs, the project period could lengthen.
• Contract economics: Even on a large project, low service fees or a long execution period can make the pace of top-line growth differ from that of profit growth. Investors should consider costs and the revenue-recognition period alongside the order amount.
• Expectations priced in early: If Heerim’s contract share falls below market expectations in the next disclosure, optimism built solely around the 5,850-home scale could fade.

Bottom Line

Heerim has expanded its role at Eungma Apartment from designer to project manager, but the strength of any re-rating will depend on the pace of the contractor’s main contract and management-and-disposal plan, as well as the actual amount recorded in the order backlog.

Frequently Asked Questions

Is Heerim the construction contractor for the Eungma Apartment redevelopment?

No. Heerim is the designer and a construction-management partner in a consortium formed with HanmiGlobal. It is not the contractor carrying out the construction directly; it supports the association with construction-cost, schedule and quality management.

What stage has the Eungma Apartment redevelopment reached?

It passed the integrated maintenance-project review in February 2026 and received project-implementation approval in July. It must next proceed through the contractor’s main contract, the management-and-disposal plan, relocation and demolition before moving to actual construction.

Why is this order a positive catalyst for Heerim’s share price?

Heerim has expanded both the duration of its project participation and its scope of work by taking on CM in addition to design and permitting. However, sustained support for the share price requires subsequent disclosures confirming the contract size and an increase in the order backlog.

This article is automatically summarized and analyzed based on the original news report. View original (Maeil Business Securities)