Namseoul Apartment (Zone 10) and Other Stagnant Zones Begin to Accelerate
Zones 2, 4, and 15 Released After Exit Strategy Become Candidates for Public Complex Projects
However, Strong Private Redevelopment Intentions Increase Resident Confusion
[Asia Economy Reporter Onyu Lim] The empty puzzle pieces of Singil New Town, left incomplete after the New Town exit strategy, are gradually being put together. While private redevelopment, which had been sluggish due to rising housing prices and transportation benefits, is gaining momentum, the deregulated zones have been selected as strong candidates for various public-led projects. However, since there is strong opposition from residents who want private redevelopment in the public-led project candidate areas, it is analyzed that Singil New Town could become a litmus test reflecting the future landscape of Seoul's maintenance projects.
According to the Ministry of Land, Infrastructure and Transport on the 2nd, the candidate sites for the urban public housing complex project announced as a follow-up measure to the 2·4 supply plan included many deregulated zones of Singil New Town, such as the former Singil 2, 4, and 15 districts. These areas have become severely aged since the maintenance zones were deregulated in 2014, despite high-density development in adjacent areas. The government plans to improve project feasibility through various incentives and build a total of 5,000 new apartments there.
Following the selection of Singil 1 district, another deregulated zone, as a candidate for public redevelopment under the 5·6 supply plan, new options have been provided for the remaining deregulated zones. When public redevelopment is promoted in Singil 1 district, the existing 552 households will be transformed into 1,510 new apartments.
Singil New Town remains incomplete despite a long project period. Out of 16 districts, 8 districts including 3, 5, 7, 8, 9, 11, 12, and 14 have completed or are about to complete occupancy, but 7 districts such as 1, 2, 4, 6, 13, 15, and 16 were largely deregulated during the New Town exit strategy. As a result, despite the New Town label, there were many aging complexes scattered throughout. However, with the government announcing plans to develop the deregulated zones through a public-led approach, an opportunity has been given to complete the remaining puzzle pieces.
Moreover, with recent rises in Seoul housing prices and transportation benefits such as the opening (planned) of the Shinansan Line, the long-stalled unstarted construction zones in Singil New Town are gaining momentum. For example, Singil 10 district, consisting of the Nam Seoul Apartments in the 3590 area of Singil-dong, began public viewing of the project implementation plan on the 1st. The project implementation plan is expected to be approved as early as the end of this month. This is 14 years since it was designated as a maintenance zone in 2007. Last month, Singil 13 district, consisting of Shinmi Apartments, Baekjo, and Taeyang Villas in the 340-1 area of Singil-dong, also received approval for the establishment of a union.
A representative from real estate agency A in Singil-dong said, "The zones that had not progressed for a long time are gaining speed, and with various transportation benefits such as the Shinansan Line and Sinlim Line, a complete transformation of Singil New Town is expected."
The key issue is the direction of the deregulated zones, which occupy a large puzzle piece in Singil New Town. While a significant number of residents in Singil 1 district support public redevelopment, there are strong voices advocating private redevelopment in Singil 2, 4, and 15 districts, which were selected as candidates for the urban public housing complex project. A resident of Singil 4 district said, "I have already submitted a consent form supporting private redevelopment to the district office, so it is absurd that it suddenly became a candidate for public-led redevelopment." Unilateral decisions without consultation with residents and anti-speculation measures such as not granting occupancy rights to new buyers seem to be obstacles.
An official from the maintenance consulting industry said, "If public-led development proceeds smoothly, Singil New Town could be completed quickly, but given the strong opposition from residents, it is doubtful whether two-thirds of the owners' consent can be obtained within a year," adding, "Moreover, with Oh Se-hoon, the People Power Party candidate advocating redevelopment deregulation, likely to be elected as Seoul mayor, the government’s will does not seem to be strongly supported."
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