Hong Ji-sun, the Minister of Land, Infrastructure and Transport, announced plans to launch an integrated housing support agency at the inter-ministerial level to expand housing supply in the Greater Seoul area. The agency will focus on providing support for projects that have received permits but have not yet broken ground due to financial and regulatory issues.
According to the Ministry of Land, Infrastructure and Transport, Minister Hong visited the 'Godeokgangil Daesung Verhill' private housing construction site in Seoul on October 8 to assess the project's progress and hold discussions with stakeholders, including the implementing and construction companies. This visit marks her second housing supply site visit since taking office, following her visit to the third new town in Bucheon Daejang District on September 22.
During her visit, Minister Hong stated, "There are a significant number of projects in regulated areas of the Greater Seoul area that have received permits but have not yet commenced due to financial and regulatory reasons. We plan to launch an integrated support agency for housing supply projects soon."
She also highlighted the goal of starting construction on '1.5 million units + α' in the Greater Seoul area from 2026 to 2030, emphasizing the crucial role of the private sector. "The private sector has accounted for over 80% of housing supply in the Greater Seoul area, and its role is more important than ever," she said. "As the government's easing of urban and architectural regulations and financial and tax support becomes more visible, housing permits are showing signs of recovery, particularly in regulated areas like Seoul." She added, "We will mobilize the entire government’s capabilities to ensure that the recovery in permits translates into actual construction and completion."
The project visited by Minister Hong is securing funding through project financing (PF) guarantees from the Korea Housing and Urban Guarantee Corporation (HUG). She urged HUG to provide swift and seamless support for PF guarantees to ensure that construction financing does not become a hindrance in the housing supply process.
Minister Hong concluded by stating, "We will carefully listen to the voices from the field to restore the private supply ecosystem as quickly as possible and decisively eliminate obstacles to housing supply."
* This article has been translated by AI.
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