[Exclusive] Approval Granted for the First Vertical Extension Remodeling of 'Songpa Seongji'

Songpa District Office Approves Vertical Extension Project Plan on 22nd
Six Years Since 2014 Housing Act Amendment Allowed Vertical Extensions
Adding 3 Floors Above Ground, Increasing Units from 298 to 340
"Designed Without Considering Load-Bearing Wall Demolition... Subject to Change Based on Ministry of Land's Conclusion"

[Asia Economy Reporter Onyu Lim] The first apartment to undergo 'vertical extension' remodeling, which increases the number of floors in an existing apartment, has been created. Seongji Apartment in Songpa-dong, Songpa-gu, Seoul is the protagonist.

According to Songpa-gu Office and the maintenance industry on the 29th, Songpa-gu confirmed that it approved the vertical extension project plan submitted by the Seongji Apartment remodeling association in the 171 area of Songpa-dong on the 22nd. Although many apartments have pursued vertical extension mainly in the Gangnam area, Seongji Apartment is the first to have its project plan officially approved.

This apartment complex, completed in 1992, consists of 298 households in a mid-rise complex. With the approval of this project plan, Seongji Apartment will be transformed into an 18-story apartment by adding 3 floors to the existing 15 floors through remodeling. The number of households will also increase by 42 to 340 units, and the exclusive area per household will expand from 84㎡ to 103㎡. The existing two-floor underground parking lot will also be expanded to three floors through remodeling. POSCO Construction will be in charge of the construction.

The approval of the vertical extension for Seongji Apartment is the first since the revision of the Housing Act in 2014 made vertical extension possible, six years ago. Shim Jaemin, an official in the Housing Project Division of Songpa-gu Office, explained, "Seongji Apartment is the first remodeling project where the number of households increases through vertical extension," adding, "The process will proceed in the order of the confirmation general meeting for the contribution amount, relocation, second safety inspection, and commencement of construction."

Vertical extension remodeling increases the number of floors of an existing apartment. According to the current Housing Act, buildings under 15 floors can add up to 2 floors, and those with 15 floors or more can add up to 3 floors. The additional housing units created through remodeling can be sold to the public to cover project costs, making it more profitable compared to horizontal extension. For this reason, it has been recognized as a new business alternative in aging mid-rise apartment complexes where reconstruction is difficult. In fact, the price of Seongji Apartment has surged following the approval of the remodeling project plan. The apartment, which was sold for 970 million KRW in November last year, now has a market price of up to 1.1 billion KRW.

Seongji Apartment, Songpa-gu, Seoul

However, apart from Seongji Apartment, no other vertical extension projects have been successfully completed due to strict safety standards and procedures. Currently, other complexes pursuing vertical extension include Daechung in Gaepo-dong, Gangnam-gu; Hanshin Royal in Jamwon-dong, Seocho-gu; and Maehwa Village 1 Complex in Bundang New Town, Gyeonggi Province. These complexes face complicated procedures such as first and second safety reviews and first and second safety inspections, which have slowed down project progress. In vertical extension, the structure must be reinforced to support the additional floor load, and the construction method varies depending on the ground and foundation work. Seongji Apartment also faced difficulties due to discrepancies between the original blueprints and the actual conditions at the time of completion, but it was built on relatively solid ground and was able to pass the second safety review, according to reports.

Shin Minsu, Vice Chairman of the Remodeling Association's Policy and Regulations Committee, said, "About seven complexes have applied for vertical extension project plans, but most are stuck at the second safety review stage," and added, "Since remodeling is still in its early stages, the government is demanding excessive safety verification," calling for regulatory relaxation.

The issue of whether to allow the demolition of load-bearing walls, which is directly related to revitalizing remodeling projects and improving profitability, has not yet been decided. Load-bearing walls are structural components designed to support the weight of the upper floors and vertically divide spaces. The Ministry of Land, Infrastructure and Transport initially planned to conclude this by the end of last year, but the experimental study titled 'Safety Study on the Demolition of Load-Bearing Walls Between Units for Remodeling' by the Construction Technology Research Institute has not been completed, delaying the decision to the first half of this year. Shim, the official, said, "Seongji Apartment planned its floor layout without considering the demolition of load-bearing walls," adding, "The design may change depending on the Ministry of Land's future decision."