Revitalizing Row and Multi-Family Redevelopment: Seoul to Ease FAR Up to 300% for Three Years

Urban Planning Ordinance Amendment Takes Effect on May 19
FAR Eased Up to 250% in Type 2 Areas, 300% in Type 3 Areas
No Building Area Limit for Permit or Notification Applications
For Multi-Family and Collective Housing, Only Units Up to 85 Square Meters Eligible

The Seoul Metropolitan Government will ease the floor area ratio (FAR) for small-scale buildings for the next three years, allowing up to a maximum of 300%. This measure aims to increase housing supply by improving the redevelopment profitability of row houses and multi-family buildings, which are more affected by fluctuations in the construction market. The relaxed FAR will apply to residential multi-family homes or officetels with a unit size of 85 square meters or less. For self-initiated housing maintenance projects, the maximum FAR can be applied without conditions.

A view of a row house and multi-family housing complex in downtown Seoul. Photo by Yonhap News

On May 18, the Seoul Metropolitan Government announced that it had completed the partial amendment procedures for the urban planning ordinance to temporarily ease the FAR for small-scale buildings, which was the 33rd deregulation measure announced in February, and will officially implement the new rules starting on May 19.

The FAR for small-scale buildings in Type 2 and Type 3 general residential areas will be temporarily eased until May 18, 2028. In Type 2 areas, the FAR will be relaxed from 200% to 250%, and in Type 3 areas, from 250% to 300%, reaching the legal upper limit in each case.

The relaxed FAR applies to: △ building permits and notifications under the Building Act; △ small-scale reconstruction projects (on sites less than 10,000 square meters) and small-scale redevelopment projects (on sites less than 5,000 square meters) under the Act on Special Cases Concerning Unoccupied Houses and Small-Scale Housing Maintenance; and △ self-initiated housing maintenance projects (with fewer than 36 units).

The relaxed FAR can be applied to cases where a building permit or notification under the Building Act, or an implementation plan approval under the Small-Scale Housing Maintenance Act, has been requested. However, street housing maintenance projects are excluded, as they do not align with the intent to promote small-scale buildings.

For building permits or notifications under the Building Act, there are no restrictions on site or building area. However, for residential multi-family or collective housing, the relaxed FAR applies only when the exclusive area per unit is 85 square meters or less, and for officetels, only when the exclusive area per unit is 85 square meters or less.

If FAR relaxation under the National Land Planning Act or other laws is applied in combination, the Urban and Architectural Joint Committee will review the adequacy of infrastructure and other factors, and the FAR can be applied up to 120% of the limit set by the Enforcement Decree of the National Land Planning Act.

If the building permit or notification target falls within a district unit planning area, the existing plan must be comprehensively revised before the relaxed FAR can be applied. The city plans to allow an additional 50% FAR on top of the permitted FAR for Type 2 and Type 3 general residential areas.

For small-scale reconstruction or redevelopment projects under the Act on Special Cases Concerning Unoccupied Houses and Small-Scale Housing Maintenance, the FAR will be relaxed up to the legal limit if the 'project plan establishment criteria' are met, taking into account the impact on the surrounding area. For self-initiated housing maintenance projects, the FAR will be relaxed up to the legal limit regardless of separate project plan establishment criteria.

The city will establish detailed operational standards regarding the relaxed FAR and ensure that projects can commence immediately upon the promulgation of the ordinance on May 19. It will also announce the 'project plan establishment criteria,' which are designed to minimize the impact on nearby low-rise residential areas and promote harmonious architectural planning.

The criteria will include: △ terrain-adaptive planning; △ sunlight and landscape review; △ creation of open complexes; △ disaster safety; and △ infrastructure improvement. The measures also specify that small-scale reconstruction projects with relaxed FAR must supply housing units of national housing size or smaller.

The city will also provide free business feasibility analysis to help small-scale reconstruction projects proceed more quickly, comprehensively reviewing the planned FAR up to the legal limit, the possibility of upgrading the land use zone, and other factors to propose the optimal architectural plan.

For those wishing to receive small-scale reconstruction business feasibility analysis, complexes must meet the following criteria: △ site area less than 10,000 square meters; △ fewer than 200 units; and △ over 60% of buildings are aged or substandard. Landowners representing at least 10% of the property must submit a consent form to the relevant district office (small-scale reconstruction department) between June 2 and June 30. In June, the city will also hold regional briefings on the detailed standards for FAR relaxation and related matters.

Kim Sungbo, Seoul's Second Vice Mayor for Administrative Affairs, stated, "We expedited the ordinance amendment process in consideration of the emergency economic situation and the state of housing supply. We expect that this ordinance revision will help revitalize small-scale construction, expand housing supply within the city, and provide practical support for the recovery of the sluggish construction market."