[BizHanKook] The indoor swimming pool at the High1 Grand Hotel, operated by Kangwon Land, has ceased operations. An employee cafeteria is scheduled to be built in its place. Within Kangwon Land, there were quite a few voices expressing the need for an indoor swimming pool, arguing that it is essential for maintaining competitiveness, given that the High1 Grand Hotel is a five-star establishment. However, the proposal was passed by the board of directors, and the indoor swimming pool will close as planned. Instead, Kangwon Land plans to focus on its outdoor swimming pool, "Blue Sky."
Kangwon Land announced in July that it would terminate operations of the indoor swimming pool located on the third floor of the High1 Grand Hotel. Investigations by BizHankook confirmed that an employee cafeteria is set to occupy the space where the indoor pool once stood. Kangwon Land is currently pushing for the construction of a second casino, with a target completion date of December 2027. As the size of the company is set to expand with the addition of a second casino, the expansion of employee dining facilities has become necessary.
However, there was significant opposition to the termination of the indoor swimming pool's operations. The argument was that the High1 Grand Hotel, as a five-star hotel, should continue to operate the pool, considering its symbolic value and its role in maintaining the hotel's competitiveness.
The Kangwon Land board of directors discussed the plan to convert the indoor swimming pool into an employee cafeteria in October. During the meeting, two board members opposed the conversion, citing hotel competitiveness. Given that public opposition is rare in most corporate board meetings, this could be considered an unusual case. However, the other nine directors voted in favor, and the motion was passed as originally proposed.
The casino sector accounts for an overwhelming portion of Kangwon Land's revenue. In the first half of this year, the casino segment generated 650.2 billion won, accounting for 89.7% of Kangwon Land's 724.6 billion won in revenue. The hotel sector’s revenue was 40.8 billion won, making up only 5.6% of the total. Consequently, there is a clear business logic behind Kangwon Land’s push for a second casino and the subsequent conversion of some hotel facilities.
Kangwon Land stated that it will focus on "Blue Sky," the outdoor swimming pool at the High1 Grand Hotel, instead. Kangwon Land announced the creation and official launch of Blue Sky in July. Blue Sky features heated pools, allowing it to be used throughout all four seasons.
A Kangwon Land official explained, "We decided to move the employee cafeteria to the current indoor swimming pool location by considering the flow of employee movement," adding, "As the number of employees is expected to increase after the second casino begins operations, the existing cafeteria will become crowded, and the (current indoor pool location) appears to be the optimal spot in terms of accessibility."