Tall & Urban News

On 16 August 2022, the government of South Korea announced that they will supply 2.7 million new homes in the next five years by easing regulations for redevelopment and reconstruction and allowing the private sector to join downtown development projects. The government has said it plans to allow property development companies in the private sector to lead high-rise downtown residential building projects with some incentives. The announcement of designated sites will start in October and a release of measures to facilitate reconstruction of decades-old apartment complexes will start in September.

The home supply plan is the first of its kind since South Korean President Yoon Suk-yeol took office on 10 May 2022. The plan will have the government provide 1.58 million homes in Seoul and surrounding metropolitan areas and 1.12 million houses are designated in other provinces starting in 2023-2027 to stabilize the real estate market.

Of the planned homes, 520,000 homes will be provided through redevelopment, reconstruction and government-led development projects in cities; 880,000 public homes will be available in metropolitan areas; and 1.3 million homes will be offered through private-sector development programs. Mentioning the first residential towns of Ilsan and Bundang in Gyeonggi Province built three decades ago, the government said it will present a "master plan which will nearly recreate the towns" by 2024.

The government plans to help residents in semi-basement apartments, known as “banjiha,” move to public homes and support the renovation of banjiha homes if residents want to stay due to financial issues. This addresses safety concerns of this type of dwelling. During the week of 8 August 2022, three family members drowned at a banjiha house as flood waters filled their home in torrential downpours.

For more on this story go to Yonhap News Agency