Hong Ji-seon, Minister of Land, Infrastructure and Transport, announced plans to support the construction of 31,000 housing units in Seoul through private redevelopment projects by the end of this year. The initiative aims to reduce delays in projects and connect supply plans to actual construction through tax benefits and financial support for relocation.
On October 30, Hong visited the redevelopment site in the Sangye 2 area of Nowon District to assess the progress of the project and held a meeting with residents and relevant agencies. He stated, "The government is supporting the construction of 72,000 housing units in the metropolitan area through private redevelopment projects this year," and assured that he would manage the progress to ensure that 31,000 units can begin construction in Seoul by year-end.
During the visit, he examined the application of the rapid housing supply measures introduced on August 13. The Ministry of Land, Infrastructure and Transport explained that the Sangye 2 area was chosen for the visit due to its eligibility for rapid construction incentives.
Hong noted, "I understand that the Sangye 2 area will also benefit from tax relief if construction begins quickly," and urged that residents be adequately informed about the support available. He requested the Housing and Urban Guarantee Corporation (HUG) to assist in resolving issues related to relocation financing to prevent delays in the project.
The Sangye 2 area redevelopment project aims to create 2,200 housing units over approximately 100,000 square meters in Sangye-dong, Nowon District. A consortium of Daewoo Engineering & Construction and Dongbu Construction is responsible for the construction. Although the area was designated for redevelopment in 2008 and received project approval in 2021, delays have occurred due to rising construction costs and conflicts over member contributions. After the management plan was rejected at a general meeting in late 2023, internal conflicts within the association also arose.
Nowon District expects the management plan approval to take place next week. The goal is to begin relocation in the second half of next year, followed by demolition in 2028, with construction potentially starting by the end of that year.
Plans are also underway to modify the project to enhance its viability. This includes adjusting zoning in areas mixed with first and second general residential zones and changing the layout of roads and parks to increase the supply to over 2,600 units. Nowon District plans to minimize project delays by coordinating related permits with relocation and demolition efforts.
Discussions were also held regarding linking the adjacent Sangye 3 area public redevelopment with Hope Village. Hope Village was designated as a residential environment improvement area in 1998 but has faced delays due to steep slopes and difficulties in road construction. Hong emphasized that while integrated development may take longer, missing this opportunity could complicate future development efforts and urged consideration of a joint approach.
While touring the site, Hong shared that he had lived in Junggye-dong for about five years. After hearing that narrow alleyways make it difficult for fire trucks to access the area, he urged efforts to prevent winter fires until relocation occurs.
Hong concluded, "Redevelopment projects involve various factors such as resident consent, project viability, construction costs, and relocation expenses. If issues arise at any stage, the overall schedule can be prolonged. We will promptly proceed with follow-up measures, including amendments to the Urban and Residential Environment Improvement Act, to ensure that the policy effects are realized on-site."
* This article has been translated by AI.
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