The name Daecheong-dong (literally grand banquet hall -dong) was derived from historical background. There was an official grand banquet hall called Yeonhyang Daecheong near the Sumun gate, which was located just outside the northern wall of Waegwan at a distance of approximately 12 km from the Administration Building of the Dongnae autonomouse districts. The governor or his deputy held banquets there to entertain Japanese envoys. They also named this banquet hall Yeon Daecheong, which has the same meaning as Yeonhyang Daecheong.

According to 『Jeungjeong Gyorin Ji』, the Yeon Daecheong hall was spacious, with as much as 35 kan in dimension. This measurement excluded the 28 kan for Gongsugan, 38 kan for the external gate, 11/2 kan for the central gate, and 5 kan each for the eastern and western stores. Various working areas surrounded the main hall for female servants. The hall had two separate annexes; one was Yeonhyangmun at the northern corner and the other was the internal Bukbun of 1 kan dimension. Through the northern gate of Bukmun, Japanese envoys would enter the hall when a banquet was held. It was normally closed and guarded by formally dressed corporals.

Over the entrance panel of the hall there was a tablet bearing Chinese characters of Yuweon (柔遠) written in calligraphy style. Because of this, the hall was also called Yuweon Gwan or Yuwon Nu. The present Namil Primary School building has been established on the location of this hall. This is the background history of the name Daecheong-dong, and the reason why its name has been retained after the liberation is because the name does not bear a single trace of Japanese influence.