'Seoul Medical Center 3000 Households Unchanged'... Ministry of Land Draws the Line

Disagreement Among Ministry of Land, Seoul City, and Gangnam-gu Over Housing Supply on Former Seoul Medical Center Site
Seoul City Officially States "Pursuing Around 800 Households"... Ministry of Land Denies Any Decision
Future Coordination on Supply Scale and Alternative Sites Expected to Be Difficult

[Asia Economy Reporter Kim Hyemin] The Ministry of Land, Infrastructure and Transport (MOLIT) stated on the 21st that there has been no change to the existing plan to supply 3,000 housing units on the former Seoul Medical Center site. This was a clear line drawn in response to Seoul City's announcement the previous day to reduce the number to around 800 units. Gangnam-gu also holds a different position from both parties, raising the likelihood of intensified three-way conflict over the future supply scale.

A MOLIT official said on the day, "We need to review the grounds for the reduction proposed by Seoul City and discuss it, but for now, we only understand it as Seoul City's opinion." The official added, "MOLIT's position that 3,000 housing units must be supplied has not changed." Furthermore, the official stated, "We decided to increase the site area and raise the floor area ratio to reach 3,000 units," adding, "This was also agreed upon with Seoul City at the time of the 2020 announcement."

Seoul City had announced in 2018 a plan to supply 800 units on the site, but two years later, MOLIT expanded the scale to 3,000 units through the so-called 8·4 measures. However, since last year, Seoul Mayor Oh Se-hoon has openly expressed the view that supplying 3,000 units is unrealistic, and the controversy escalated when Deputy Mayor for Administration Ryu Hun officially stated this position at a press briefing the previous day.

Seoul City plans to begin full discussions on the total supply scale once the three-party land swap procedure with Korean Air and Korea Land & Housing Corporation (LH) for the southern site of Seoul Medical Center is completed. However, since MOLIT, Seoul City, and Gangnam-gu all hold different positions, the coordination process is expected to be difficult. Gangnam-gu opposes the very idea of a residential complex being built on the Seoul Medical Center site.

Opinions on alternative sites also differ subtly. MOLIT left room for negotiation, saying, "We will discuss so that housing supply can proceed at the level of the 8·4 measures," but Seoul City maintains that there are no alternative public sites. A Seoul City official said, "It is important to find an appropriate scale from the perspective of surrounding areas and urban planning, rather than insisting on 3,000 units no matter what or thinking that any shortfall should be made up elsewhere," adding, "Since the announcement, urban complex projects and private redevelopment projects have been activated, increasing supply, so a thorough review of the overall quantity and quality of housing supply is necessary."