Approximately 83,000 public rental homes are planned at reconstruction and redevelopment sites in Seoul.
The scale appears large based solely on the housing supply figures, but the timing of actual occupancy varies significantly depending on the project stage.
This is why planned units must be distinguished from units under construction.
3-Line Summary
1. Public rental housing in redevelopment projects totals approximately 83,000 units
2. Half of the 496 sites are in the early stages
3. It is too early to regard the planned number of units as occupancy supply
Public Rentals Account for 16% of the Planned Units at 496 Sites
According to a Korea Economic Daily report, as of the end of June, the Seoul Metropolitan Government planned to supply 51 5817 apartment units across 496 redevelopment and reconstruction sites. Of these, approximately 83,000 are public rental homes, accounting for approximately 16.1% of the total. The tally excludes small-scale maintenance projects such as Moa Towns and includes reconstruction of multifamily and detached homes, as well as urban maintenance-type and housing maintenance-type redevelopment.
Because these projects involve demolishing existing homes and building new ones, the total planned number of units does not mean that the number of homes will increase by that entire amount. The existing number of units at these sites was tallied at 37 7678, and after taking this into account, the net increase was presented as approximately 13 8139 units. The 8만3000 public rental homes are also planned supply generated during the project process, not units whose supply has already been confirmed and completed.
Half Are at the Maintenance District Designation or Association Establishment Stage
The same report classified 52 sites where maintenance districts had been designated, 73 sites where promotion committees had been established, and 124 sites where associations had been established among the 496 sites as being in the early stages. These account for 50.2% of all project sites, while the share of planned units in the early stages is 55.3%.
By contrast, only 62 sites had begun construction, accounting for 12.4% of the total. In terms of units, this amounted to 4 4726 units, or 8.7%. To move from planning to construction, a project must go through various procedures, including association operations, permits and approvals, relocation, and negotiations over construction costs. Problems securing relocation expenses due to lending regulations, rising raw-material prices, and difficulties in negotiating construction costs were also mentioned as factors slowing project progress.
It is necessary to distinguish between the Seoul Metropolitan Government’s stated policy of treating maintenance projects as a core pillar of housing supply and housing welfare and the question of when each individual project will actually begin and complete construction.
Dongdaemun-gu Has Begun Providing Advance Guidance on Subsequent Procedures
Dongdaemun-gu in Seoul announced on September 23 that it would implement the “Advance and Parallel Work Notification Service by Maintenance Project Stage.” Under the system, project entities such as associations are informed in advance about the documents required and the tasks that can be carried out in parallel at the stages of maintenance district designation, association establishment, approval of a project implementation plan, approval of a management and disposal plan, relocation and demolition, and construction commencement and completion.
For example, while consultations and public inspection are conducted after an application for approval of a project implementation plan, guidance is provided to carry out in parallel the selection of an appraisal firm and preliminary surveys required for the next stage, approval of a management and disposal plan. Dongdaemun-gu said it plans to standardize these tasks and provide guidance tailored to the circumstances of each site.
This system is Dongdaemun-gu’s implementation plan. How much the actual project period will be shortened must be confirmed through the progress of each site going forward. However, when assessing reconstruction and redevelopment volumes, it is more accurate to consider not only the number of units but also how far each project has progressed in terms of association establishment, permits and approvals, and construction commencement.
References
Tags #Reconstruction #Redevelopment #SeoulReconstruction #SeoulRedevelopment #PublicRentalHousing #MaintenanceProjects #MaintenanceProjectSupply #ReconstructionSupply #AssociationEstablishment #ProjectImplementationPlanApproval #ManagementAndDisposalPlanApproval #ConstructionCommencement #DongdaemunGuMaintenanceProjects