The South Korean government has proposed relocating the Gyeonggi Racecourse to make way for a large-scale residential complex, prompting backlash from local authorities, including the city of Gwacheon. This controversy has ignited a nationwide competition among various local governments seeking to attract the racecourse, a lucrative asset for generating tax revenue. Regions such as Jeju, Yeongcheon in Gyeongsangbuk-do, and Gimje in Jeolla-buk do are positioning themselves as potential hosts, while Damyang-gun has been proactive in planning its bid aligned with a larger public institution relocation initiative initiated by the government.

The financial implications of this potential relocation are significant, as Gyeonggi Province faces the prospect of losing approximately 200 billion KRW in leisure tax revenue. The provincial government is advocating for various alternative sites for the racecourse, including reclaimed lands along the west coast of the province. The ongoing local elections have intensified the competition as various political figures propose alternative relocation sites, such as the Hwaseong city mayor who suggested moving the racecourse to an area in Hwaseong, and proposals from other politicians to establish a race-themed leisure park in Ganghwa Island

The core issue lies in how the government will address the concerns of Gwacheon citizens, who have organized against the relocation plan, holding demonstrations and voicing their objections to the housing development that accompanies the move. The Gwacheon community argues that their infrastructure has already reached its limits due to ongoing housing developments, and the reduction in local tax revenue from the racecourse threatens to severely impact the city’s finances. The annual tax revenue generated by the Gyeonggi Racecourse is reported to be around 50 billion KRW, marking it as a vital economic contributor to the region.