Ministry of Land, Infrastructure and Transport Announces Public-Private Rental Housing Project for 1,500 Units in Godeok and Osan

[Asia Economy Reporter Lee Chun-hee] The Ministry of Land, Infrastructure and Transport and Korea Land & Housing Corporation (LH) announced that they will open a public bid on the 24th for developers to construct a total of 2,078 units of 'publicly supported private rental housing' in two LH-owned sites: Pyeongtaek Godeok and Osan Segyo 2 districts.

Publicly supported private rental housing offers rental rates up to 85% lower than the surrounding market prices, providing secure housing for over 10 years. It prioritizes supply to households without homes and designates at least 20% of all units for special allocation to youth and newlywed couples, enhancing its public nature.

Among the sites offered in this bid, Pyeongtaek Godeok A-56 block in Pyeongtaek City, Gyeonggi Province, covers an area of 68,783㎡. It can accommodate 1,499 units with exclusive areas of 60㎡ or less. The floor area ratio is 180%.

This site, located within the Godeok Internationalization District, is expected to have high tenant demand due to the Samsung Electronics Pyeongtaek Campus (Godeok Internationalization District Advanced Industrial Complex) situated to the east.

To the south of the district runs the Pyeongtaek-Jecheon Expressway, and Pyeongtaek Godeok IC is located just a 5-minute drive from the complex, ensuring excellent accessibility. Additionally, Jije Station, located southeast of the district, provides easy access to the metropolitan area via the SRT (Suseo High-Speed Railway) and Seoul Metropolitan Subway Line 1. Notably, travel from Jije Station to Suseo Station via SRT takes about 20 minutes.

The Osan Segyo 2 A-17 block in Osan City, Gyeonggi Province, which is also being supplied, covers an area of 33,778㎡ and plans to build 579 apartment units ranging from 60 to 85㎡. The floor area ratio is 180%.

Nearby the district, the Gyeongbu Expressway and the Metropolitan Area 2nd Ring Expressway pass through. Osan Station on Line 1 is within a 20-minute walking distance from the project site, and using express buses, it takes about 1 hour and 20 minutes to reach Gangnam Station, providing high accessibility to the Gangnam area. The vicinity of the project site includes Osan University, LG Chem Tech Center, and Hyundai Terra Tower Knowledge Industry Center (a business complex), which are expected to generate strong tenant demand.

LH plans to announce the developer bid on the 24th and receive letters of intent over two days from the 6th to 7th of next month. Subsequently, business plans will be submitted by November 25th, and after evaluation in December, a preferred negotiation partner will be selected. The selected developer will then proceed with detailed business consultations with the Korea Housing & Urban Guarantee Corporation, followed by approvals for housing project plans, housing and urban fund investments, rental REITs (Real Estate Investment Trusts) business licenses, and contract agreements, thereby officially advancing the project.