The First Demonstration of Regulatory Easing in Semi-Industrial Zones
Up to 42 Stories and 993 Units Planned Through Trust-Based Reconstruction
Dobong-gu, Seoul (Mayor Oh Unseok) announced on August 19 that Samhwan Dobong Apartment was officially designated and announced as a reconstruction maintenance zone as of August 14. Samhwan Dobong became the first leading case in Seoul to benefit from the regulatory easing applied after the semi-industrial area floor area ratio (FAR) relaxation policy was introduced in September last year.
This designation applies a maximum FAR of 343.49%, allowing for buildings up to 42 stories high and a total of 993 units. The project will proceed as a trust-based reconstruction. Additional administrative steps, such as collecting consent forms for the designation of the project operator, will follow.
Samhwan Dobong was the first in Dobong-gu to pass the reconstruction safety inspection, but the project was delayed due to low profitability caused by restrictive FAR limits. However, changes began as the district office actively worked to improve the project's viability.
In July 2022, Dobong-gu officially requested the relaxation of conditions from the Ministry of Land, Infrastructure and Transport and also sought a meeting with the minister. As a result, the amendment and enforcement of the "Urban and Residential Environment Improvement Act" in January last year increased the allowable FAR to 300%. Subsequently, a change in the "Seoul Urban and Residential Environment Improvement Master Plan" in September last year made it possible to increase the FAR up to 400%.
With improved profitability due to these policy changes, Samhwan Dobong quickly applied for the expedited integrated planning process, completed various legal procedures and consultations, held resident briefings and public hearings, and sought opinions from the district council. As a result, the project passed the review of the Seoul City Urban Planning Committee in about a year and a half.
Oh Unseok, Mayor of Dobong-gu, stated, "As the first demonstration case of regulatory easing in semi-industrial areas, Samhwan Dobong will become a new benchmark for reconstruction projects in Seoul. We will do our utmost to successfully implement this project and make it a model case for revitalizing reconstruction in Seoul."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.


