'Cheopcheopsanjung' Noh Hyung-wook's First Day at Work... "Housing Stability and Speculation Eradication Are Top Priorities"

Successor to Byeon Chang-heum... Official preparation for confirmation hearing begins
Responding to concerns from non-experts: "Understands Ministry of Land policies"
Housing price stabilization, public price assessments, and other sensitive issues piled up

Minister-designate of Land, Infrastructure and Transport Noh Hyung-wook is arriving at the Government Complex Gwacheon on the 19th. [Image source=Yonhap News]

"I will prioritize the stabilization of the people's housing and the eradication of real estate speculation as my top tasks."

On the 19th, Noh Hyung-wook, who has been nominated as the de facto last Minister of Land, Infrastructure and Transport under the Moon Jae-in administration, arrived at his office at the Government Complex Gwacheon for his first day of work and began preparing for the confirmation hearing in earnest.

On his way to work that day, Noh told reporters, "If given the opportunity to serve as minister, I will make two things my top priorities: the stabilization of the people's housing and the eradication of real estate speculation," adding, "I will communicate and cooperate closely with government ministries, local governments, and the National Assembly" regarding his work plans.

Noh is a seasoned economic bureaucrat with excellent coordination skills, but the tasks ahead are daunting. The top priority is to achieve the housing price stabilization that President Moon Jae-in confidently promised within a year and to restore the angry public sentiment on real estate before the presidential election.

To do so, it is necessary to flawlessly implement the follow-up measures for housing supply from the February 4th plan, efficiently manage the confusion caused by the increase in official property prices, and the land speculation scandal involving employees of the Korea Land and Housing Corporation (LH).

With former Minister Kim Hyun-mi, who was politically experienced, and former Minister Byun Chang-heum, a housing supply expert considered a "masterstroke appointment," both having resigned in disgrace, the market holds mixed feelings of hope and concern regarding Noh's nomination.

Regarding concerns about his expertise in real estate policy due to his background in the Ministry of Strategy and Finance, Noh emphasized, "I have a certain level of understanding of the Ministry of Land, Infrastructure and Transport's policies, including real estate issues, as I have been responsible for fiscal and policy coordination, public institution policies, and coordinating government policies at the Office for Government Policy Coordination."

He received briefings from the Planning and Coordination Office and the Housing and Land Office and began preparing for the confirmation hearing. Unlike former Minister Byun, who faced a crisis of resignation due to controversial remarks related to the Guui Station accident and nepotism during his tenure as president of the Seoul Housing and Communities Corporation (SH), Noh, a civil service examination graduate with long experience at the Ministry of Strategy and Finance and the Blue House, is expected to pass the hearing barring any surprises.

Noh's core task is undoubtedly housing price stabilization. Last year, President Moon expressed a strong determination to stabilize the real estate market at the New Year's press conference, even mentioning "restoring housing prices to their original state," but housing prices in Seoul and the metropolitan area continue to rise. Achieving housing price stabilization before next year's presidential election to regain negative public opinion is essential.

A key variable is the relationship with Seoul Mayor Oh Se-hoon, who is increasingly at odds with the government. The core of the February 4th plan is "public development," including public redevelopment and reconstruction, urban public housing complex projects, and public-led maintenance projects, whereas Mayor Oh focuses on deregulation for the private sector. Additionally, Mayor Oh, along with five other metropolitan local government heads from the People Power Party, including Busan Mayor Park Hyung-joon, recently called for a reassessment of official property prices.

Noh said, "I don't think it's a matter of choosing between public-led or private initiatives," adding, "The government's February 4th supply plan embodies the spirit of 'win-win' to overcome the limitations of existing measures, so if we sincerely consider the people in front of us, I think a good compromise can be reached."

Restoring trust in government policies, which has plummeted due to the LH employees' land speculation scandal in new towns, is also an urgent task. The chaos at LH, which has had a vacant president position for four months, must be resolved, and an organizational reform that satisfies both the public and LH employees must be achieved. The government is currently reviewing innovation plans to adjust LH's roles and functions, but given the vast organization and budget, it is not an easy task.

In addition, sensitive policies such as the announcement of the second new housing sites in the metropolitan area this month, the rental reporting system starting in June, and the pre-subscription for the third new town in July must be promoted. There are also pressing transportation issues with significant regional conflicts, such as the Gadeokdo New Airport and the metropolitan area wide express railway (GTX).