The Korean government has been working to reduce national logistics costs since the early 1990s. One of the major plans instituted by the government was to build five complex freight terminals using ICDs(inland container depots) as hub inland terminals. This paper explains the process and the methods adopted for site selection, with special focus on the Youngnam Freight Terminal. Among nineteen developable sites in Youngnam region, four candidates were selected based on the Map Overlay Approach under several criteria, including land acquisition costs, proximity to major highways and railroads, suitability of the terrain, etc. In this study, we used the AHP to select the best site among the four sites.