Sungwon bags AED 300 million contract to build The Cube, a 5-star hotel apartment for renowned German developer BMG

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Deal at International Property Show is Sungwon's second big win in a week
Dubai, UAE 19 February 2008: Sungwon Corporation, one of the largest integrated construction companies in South Korea, has won a lucrative contract worth AED 300 million to build The Cube, a 5-star 26-storey Hotel Apartment building for renowned German developer, BMG Middle East Development, at Dubai Sports CityDubai Sports City.

Sungwon clinched the deal to build The Cube during the International Property Show in Dubai, making it the second big win in a week for the South Korean construction company, following its contract to build the Silver Star Tower, a AED 400 million state-of-the-art officer tower for German developer Trend Capital at Business Bay.

The Cube is BMG's debut project in the Middle East, and is a unique concept that promises ownership of a hotel apartment. BMG Middle East Development is a subsidiary of the BMG Group in Germany.

Announcing Sungwon's latest win in the Middle East construction sector at a project signing ceremony at the International Property Show on 19 February, Mr. Chang-Pyo Park, CEO of Sungwon's Middle East Headquarters and General Manager of the Dubai Branch, said that The Cube project represented yet another opportunity for Sungwon to prove its capabilities as a builder of world-class apartments, and showcase its expertise in leisure developments, in addition to residential and commercial projects.

The agreement was signed by Mr. Chang-Pyo Park and Mr. Gerd Wuhlert, Managing Director, BMG Group in the presence of the founder and Chairman of Sungwon Corporation, Mr. Yoon-Soo Jeon. The ceremony was also attended by Mr. Richard Lee, Vice President of Sungwon (Dubai Branch) and Mr. Sebastian Foerster (Technical Director, BMG) and Mr. Hendrik Atzert, Sales Director at BMG.

The Cube will offer investors and individual buyers a choice of 1,2 & 3 bedroom units, as well as Executive Studios and studios. The hotel apartment building will feature a range of residential, leisure and sports facilities including an ultra modern sports spa, a pool area with "Aqua Gym" facilities, medically monitored wellness area, restaurants, business centre and a high-quality residential complex, in addition to four parking levels with access ramp for 592 parking spaces. Construction work is set to commence in March 2008 while the project is expected to be completed at the end of 2010.

Mr. Chang-Pyo Park, CEO of Sungwon's Middle East Headquarters and General Manager of the Dubai Branch, said: "Sungwon is proud to join hands with a well established international player like the BMG Group, for our mutual benefit. It is a great honour to be awarded the construction contract for this exciting apartment concept. The Cube project is a great opportunity for Sungwon to showcase its expertise not only in the construction of high rise residential development but also in luxury leisure apartments. As we rapidly expand our presence across the UAE, we wish to further enhance our credibility as a trustworthy construction company by delivering projects on schedule in line with our motto, Quality on Time".

Mr. Gerd Wuhlert, Managing Director of BMG, said: "We are delighted to place our trust in Sungwon, a reputed company that has proven its capabilities in meeting delivery deadlines without compromising the quality of construction. With The Cube, BMG is seeking to set a new standard of luxury living whilst offering investors a high return on their investment. Over the years, Dubai's hotels have averaged more revenue than any other hotels worldwide. Therefore, ownership of a hotel apartment, and that too in one of Dubai's most promising locations at Dubai Sports CityDubai Sports City, is one of the most lucrative and sustainable options available to those looking to invest in real estate".

Mr. Richard Lee, Vice President of Sungwon (Dubai Branch), said: "Our position in the Middle East continues to grow on the strength of our long heritage of delivery on time, the finest architectural and engineering expertise and property services. It is in this context that we foresee a great partnership with BMG Middle East Development. The Cube will be an iconic landmark that is both well-planned and designed to the highest specifications".

Sungwon, which has its Middle East headquarters in Dubai, has earmarked over US $ 1.2 billion in investments over the next three years for the property development sector in the region, almost half of which has been already pumped into building unique world-class lifestyle developments in Dubai's Business Bay and Culture Village, two landmark property hubs being developed by Dubai PropertiesDubai Properties.

Sungwon is also carrying out civil works projects in Bahrain and Qatar including roads, highways and sewerage pipelines. Sungwon is currently carrying out work on a massive flyover at the Isa Town Gate Intersection in Bahrain. That contract is worth AED 400 million. Sungwon plans to officially launch its civil works contracting services in the UAE, and participate in several other large infrastructure projects in the country.

In addition to the Middle East, Sungwon is already playing an active role in construction and property development projects in several other countries outside South Korea including Kazakhstan and other parts of South East Asia. Sungwon owns golf courses and is renowned for building the FIFA World Cup stadium in Korea, roads, highways, rail, rapid rail, subways, bridges, tunnels, ports and airports.

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About Sungwon:
Sungwon Corporation is a large integrated real estate, construction and engineering company that has built a solid reputation as a property developer and contractor of award-winning luxury high-rise residential/mixed use complexes. Sungwon has been introducing architectural masterpieces in every major city of Korea, and has built over 135,000 apartments and 1,000 high-rise towers. It specialises in high rise mixed-use complexes, civil works, environmental plants and special projects, including championship golf courses, world class stadia and resorts. In 2005, Sungwon completed 52 commercial and residential projects, and currently has over US $ 3 billion worth of projects under construction.

About BMG
Having completed over 4 billion euros worth of projects in Germany and domestic Europe, BMG Group has a strong reputation for delivering outstanding quality and client satisfaction. BMG has diversified business interests, and offers a range of construction and engineering services. BMG's engineering office supplies all construction and services related to construction client support such as services in the planning, construction, conversion and renovation of buildings, outdoor installations, space-creating extensions, engineering structures, transport network installations and technical equipment. BMG's projects include the railway tunnel from Potsdamer Platz to the Reichstag in Berlin-Tiergarten, the Federal Ministry of Transport in central Berlin, the Federal Ministry of Defence in Berlin-Tiergarten, the 5-star Movenpick hotel in Berlin-Kreuzberg and the BMW factory in Leipzig.

For further information, please contact:
Anosh Ahamath
BPG Public Relations
00 971 4 2953456
Mobile: 050 7853956

© Press Release 2008