[Asia Economy (Suwon) = Reporter Lee Young-gyu] Approximately 2,900 units of 'public redevelopment' rental housing will be supplied in Yeokdong-gu, Gwangju-si, Gyeonggi-do.
Public redevelopment is a redevelopment project promoted with the participation of public institutions such as Gyeonggi Housing and Urban Corporation (GH) and Korea Land and Housing Corporation (LH). Private redevelopment projects led by associations often face conflicts and lawsuits among members over billions of won in project costs, causing the project period from designation to groundbreaking to extend to an average of 12 years. Such prolonged projects increase the burden on members due to loan interest and other costs.
On the other hand, public redevelopment includes key measures such as increasing the floor area ratio (FAR) up to 1.2 times the legal limit to reduce members' financial burden, and integrating reviews on construction and transportation to shorten the project period to within five years through a comprehensive project plan review system. In exchange for the increased FAR, at least 10% of the total units are supplied as public rental housing as a contribution to the public.
Gyeonggi-do announced on the 22nd that GH will lead the public redevelopment project on 111,000㎡ at 141-6 Yeokdong, Gwangju-si, supplying 2,827 rental housing units.
As the preliminary project implementer, GH plans to hold on-site briefings for residents of the candidate site to explain the main contents and expected effects of the public redevelopment. They will also collect residents' opinions and proceed with establishing the maintenance plan (draft) and the consent procedure for designating the public implementer within the year.
To block speculative forces entering the area for the purpose of acquiring pre-sale rights, the province announced November 22 as the 'right calculation standard date' for buildings within the candidate site.
After the standard date, acquiring ownership through ▲land subdivision ▲conversion of single-family houses to multi-family houses ▲separating ownership of land and buildings owned by the same person on one lot ▲construction of multi-family housing on vacant land will disqualify applicants from receiving pre-sale application rights, thus preventing speculation.
Hong Ji-seon, Director of the Urban Housing Office of the province, emphasized, "Public redevelopment can provide residents with opportunities to own homes faster and in greater numbers through rapid project promotion and relaxed floor area ratios. We will also secure public rental housing for displaced residents and tenants to contribute to housing stability."
Meanwhile, the public redevelopment candidate sites in the province include seven locations: ▲Gwangmyeong District 7 ▲Goyang Wondang 6 and 7 ▲Hwaseong Jinan 1-2 District ▲Gwangmyeong Haan ▲Gwangju Yeokdong (all implemented by Gyeonggi Housing and Urban Corporation) ▲Suwon Gosaek ▲Gwangmyeong District 3 (both implemented by Korea Land and Housing Corporation).
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
