Reaffirming Supply of 400,000 Public Rental Housing Units at the 2nd Anniversary Press Conference of the 7th Civilian Administration
"Refraining from Presidential Run Decision for Now... Approval Ratings Always Fluctuate"
[Asia Economy Reporter Jo In-kyung] Seoul Mayor Park Won-soon clearly stated that while he would actively cooperate with the government's policy to expand housing supply, he opposes securing land through the release of the Greenbelt. He also promised to prepare specific detailed plans on which area in Gangbuk and which projects the public contribution funds from the Samsung-dong Hyundai Motor new headquarters (GBC) development would be invested in.
On the 6th, Mayor Park held a press conference marking the 2nd anniversary of the 7th term at the Seoul Citizens Hall Taepyeong Hall, stating that Seoul's core policy to address the recent surge in real estate prices and housing issues is to massively expand public rental housing.
By the end of his term in 2022, including LH supply, Seoul will have 400,000 public rental housing units, which accounts for more than 10% of Seoul's 3.8 million housing units. Mayor Park said, "Housing supply takes 2 to 3 years from policy announcement to actual supply," adding, "By the time my term ends, public rental housing will exceed 10%, and if the next mayor makes the same effort, public rental housing will reach 20% in 10 years."
However, to prevent the rapid rise of monthly rent or jeonse (key money deposit) prices, he demanded that the Seoul mayor be given the authority to regulate monthly rents, similar to the case in Berlin, Germany.
Mayor Park said, "I believe not only our young generation but all citizens will not tolerate a situation where someone buys an apartment in Gangnam, its value increases by 1 billion KRW over 10 years, but only pays 1.5 million KRW in taxes," and added, "This issue can be resolved through tax reform, public rental housing supply, and various other methods."
He drew a clear line by stating, "Seoul has been trying to use several reserved areas for housing supply, but the Greenbelt, which is a fundamental philosophy of Seoul, must be preserved for future generations and cannot be used just because it is needed in the present."
Instead, he reiterated the necessity of a national real estate sharing system. Using the Gangbuk transverse line project promoted by Seoul as an example, Mayor Park said, "Connecting areas where subways do not currently pass, from Yangcheon to Cheongnyangni, will not only guarantee citizens' mobility but also revitalize traditional markets and local businesses," emphasizing, "Public contribution funds generated in Gangnam can be used to create more public rental housing or parks in Gangbuk, producing greater effects."
Mayor Park added, "I have raised this issue with the Minister of Land, Infrastructure and Transport, stating that development profits generated over several years from Gangnam development should also be used in Gangbuk to help balanced development in Seoul, so I expect a positive response," and said, "We will prepare more detailed and segmented plans on how to promote Gangbuk development."
Meanwhile, Mayor Park announced that, in preparation for operating Seoul with a system of five vice mayors, he appointed former lawmaker Kim Byung-kwan as the Chair of the Post-Corona Livelihood Special Economic Committee and Lee Yoo-jin, co-chair of the Green Party, as the Chair of the Post-Corona Climate and Ecology Special Committee, establishing special committee chairs for non-statutory organizations. Currently, Seoul officially has three vice mayors: Administrative Vice Mayor 1, Administrative Vice Mayor 2, and Political Vice Mayor. However, this is a preparatory measure in response to a pending amendment to the Local Autonomy Act in the National Assembly, which would allow large metropolitan governments, including Seoul, to have up to five deputy heads.
When asked if he would run in the next presidential election, he said, "(The presidency) is not something you can do just because you want to, and sometimes it is a fateful position you have to take even if you don't want to," adding, "It is important for President Moon Jae-in to complete his 5-year term without a lame-duck period." He said, "Approval ratings always fluctuate, so I don't pay attention to them and rather focus on thoroughly fulfilling my duties," and added, "I think citizens recognize such achievements and sincerity."
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