The South Korean government struggles to tackle issues on the suspended tour project to Mount Geumgang in North Korea after leader Kim Jong-un, center, ordered demolition of South Korean facilities in the mountain resort, Oct. 23. / Yonhap

By Yi Whan-woo

A series of hurdles linked to methods of cross-border communication, South Korean properties in North Korea, U.N. sanctions on Pyongyang and denuclearization dialogue is challenging the Seoul government to find "creative solutions" for issues on the suspended tourism to Mount Geumgang in the North.

On Oct. 25, the North notified the South in a letter that they should discuss through an exchange of documents, rather than person-to-person contacts, how to remove the South Korean facilities at the Mount Geumgang resort.

The notification was in line with North Korean leader Kim Jong-un's order on Oct. 23 for a makeover of the resort and demolition of all "unpleasant-looking" South Korean facilities.

The South Korean authorities, according to sources familiar with the matter, are perplexed by Pyongyang's Oct. 25 move.

This is because the authorities had interpreted Kim's order for "consultations" as a chance to have constructive dialogue on the future of the Mount Geumgang project and seek "creative solutions" afterwards.

Pyongyang's preference for indirect contact is also worrisome because removing South Korean-built properties is so complicated that it cannot be carried out only through exchanges of documents.

The South Korean properties are worth thousands of billions of won, ranging from hotels to a duty free shop, banquet hall and a hot spring among others.

They belong to one of three entities ― the central government, state-run Korea Tourism Organization and Hyundai Asan, the inter-Korean business arm of conglomerate Hyundai Group.

The case may spread to a violation of property rights as Hyundai Asan acquired the rights to operate the resort for 50 years when the joint tour project began in 1998 when Kim Jong-il, Kim Jong-un's father, was in power.

Given the circumstances, Seoul needs to convince Pyongyang to reconsider its method of communication, said Yang Moo-jin, a University of North Korean Studies professor.

"I'd say high-level dialogue should be the starting point. A summit preceded by visits of special envoys is also a viable option," Yang said.

The sources said a possible failure to reach an accord over the Mount Geumgang resort could jeopardize South Korean assets in anther cross-border project ― the Gaeseong Industrial Complex (GIC).

The factory park in Gaeseong, North Korea, has also been suspended since 2016.

The suspended tour project was considered a cash cow for the impoverished Pyongyang regime.

Kim is believed to be angered by prolonged U.N. sanctions and President Moon Jae-in's failure as a "mediator" in the U.S.-North Korea negotiations.

The North Korean leader also appears to be stepping up his policy of "self-reliant" economic growth and running the Mount Geumgang resort independently.

In his Oct. 23 remark, Kim said his country "will always welcome our compatriots from the South" if they want to come to the resort after it is rebuilt.

Although the U.N. sanctions on Pyongyang do not include tourism, possible visits of individual South Korean tourists to the Mount Geumgang resort still defy international sentiment against the North's nuclear ambitions, Yang said.

"The government will need to balance out its role between the North and the rest of the world. And this is the very tricky part," he said.

The Mount Geumgang project was suspended in 2008 when a female tourist from the South was shot dead by a North Korean soldier for reportedly wandering off limits.

The resort has hosted occasional reunions of families separated by the 1950-53 Korean War.