In Seoul, the number of housing units scheduled for supply at redevelopment sites where residents have completed relocation has exceeded 30,000. While residents have vacated existing homes, construction of new housing has yet to begin. The lack of progress from permits and relocations to actual construction raises concerns about managing subsequent stages of housing supply policies.
According to a report by Aju Economy on September 27, as of September 23, there are 27 projects that have not yet entered the main construction phase after relocation. These projects are expected to supply a total of 31,312 housing units, which is 97.5% of the 32,119 units constructed in Seoul last year.
These areas previously contained 29,893 housing units. With residents having relocated, the use of these existing homes has ceased, and in some cases, the buildings have been demolished. Since the planned supply includes replacements for these homes, it is difficult to view the supply as a net increase. Lengthy delays before construction can begin may postpone the supply of new housing and extend the time that relocated residents must find alternative accommodations.
The 27 projects have been waiting an average of 13 months since the recorded end of relocation as of September 23. On average, 26.9 months have passed since the start of the relocation process. The time required for main construction and completion is separate.
Nine of these projects have been waiting over a year since the recorded end of relocation, with a planned supply of 13,132 units. This means that approximately 42% of the total planned supply is concentrated in projects that have completed resident relocation for over a year.
Some sites have been waiting for years to begin construction after demolition. The Bangbae 14 area in Seocho District recorded its end of relocation date as September 7, 2022, and the demolition of existing structures was completed on May 23, 2024. As of September 23, it has been 853 days, or about 2 years and 4 months, since the demolition was completed, yet construction has not started.
In August, Seocho District announced a recruitment notice for electrical supervision of housing construction, stating that the entire construction period for Bangbae 14 is scheduled from October 1 to the end of 2030. However, a Seocho District official noted, "October 1 is the schedule prepared by the construction company, and changes are expected. Currently, there are no records of construction start notifications."
While time is needed for demolition and construction preparation after relocation, advancing the relocation process before meeting construction conditions can only hasten the cessation of use of existing homes. To connect permits and relocation achievements to actual supply, it is necessary to manage the remaining procedures and delays before construction, as well as the waiting periods.
Kim In-man, director of the Real Estate Economic Research Institute, stated, "If construction at sites where relocation has been completed remains stalled for an extended period, the supply effect will also be delayed. It is essential to reduce bottlenecks in ongoing projects to facilitate actual construction."
* This article has been translated by AI.
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