Government: Is 'Seoul Greenbelt Direct Revocation' Possible?

Possible for areas over 300,000㎡
Lifted below that for public housing construction
Mayor Park opposes, realistically burdensome
Leading candidates for direct cancellation: Seocho and Gangnam Districts

[Asia Economy Reporter Donghyun Choi] As the government and ruling party consider the possibility of lifting the Greenbelt (development-restricted area) to secure housing supply in Seoul, attention is focused on the feasibility of this move. Seoul Mayor Park Won-soon continues to maintain that lifting the Greenbelt is not an option. In 2018, when the Ministry of Land, Infrastructure and Transport and Seoul City clashed over the Greenbelt issue, the Ministry eventually backed down to resolve the conflict. However, this time, since President Moon Jae-in has instructed to increase supply even if it means 'excavating' the Greenbelt, it is expected that the dispute between the two sides will not end easily.

According to political circles on the 8th, the government and the ruling Democratic Party of Korea are reportedly considering various methods, including lifting the Greenbelt, to secure housing supply in Seoul. Kang Hoon-sik, senior spokesperson for the Democratic Party, said at a meeting with reporters after the Supreme Council meeting on the 6th, when asked if the Greenbelt lifting was being considered to expand supply, "I understand that the government is discussing related matters." However, Mayor Park has reiterated his stance that the Greenbelt will not be lifted. At a recent press conference marking the second anniversary of his seventh term, Mayor Park stated, "The Greenbelt is a treasure that must be preserved for future generations," and argued that housing prices could be stabilized with 400,000 public rental housing units.

Due to this difference in stance, strong friction is expected between the government and Seoul City if the government and ruling party proceed with lifting the Greenbelt. Currently, the Greenbelt in Seoul is designated in 19 out of 25 autonomous districts, covering an area of 149㎢, which is about 25% of Seoul's total area.

The key issue for direct government lifting is the area size. According to the current 'National Land Planning and Utilization Act' and the 'Special Measures Act on the Designation and Management of Development-Restricted Areas,' the central government can directly lift the Greenbelt if the area is 300,000㎡ or more. However, if it is less than that, the Seoul mayor must directly propose the agenda for lifting to be possible. This means that if Mayor Park does not relent, lifting is practically impossible. However, there is a way. Even if the area is less than 300,000㎡, the government can directly lift the Greenbelt for reasons such as public housing construction. But in this case, Minister Kim Hyun-mi of the Ministry of Land, Infrastructure and Transport would inevitably bear political burdens.

Meanwhile, if the government moves forward with lifting the Greenbelt, it is highly likely that the Greenbelt areas around Seocho-gu and Gangnam-gu will be prime candidates. The Greenbelt in Seocho-gu and Gangnam-gu covers 23.88 million㎡ and 6.09 million㎡ respectively, and since Mayor Park does not have the authority to block lifting in these areas, it would be a way for Minister Kim to somewhat reduce political burdens. Moreover, it is known that many parts of the Greenbelt in this area are rated 3rd to 5th grade, indicating lower preservation value. Professor Kwon Dae-jung of Myongji University Graduate School of Real Estate said, "Greenbelt areas that have no forest land on the surface or are used as farmland or borderlands are already damaged, so supplying apartments through these areas is possible," adding, "Along with this, various methods such as easing reconstruction and redevelopment regulations and floor height restrictions should also be considered."