Busan Office of Education Implements Rent Reductions and Payment Deferrals for Small Businesses and SMEs

The Busan Metropolitan Office of Education (Superintendent Kim Seokjun) announced on November 13 that it will significantly ease the rent for public property in order to reduce the burden on small business owners and small and medium-sized enterprises (SMEs) struggling due to the economic downturn. The policy will be applied retroactively from January 1 to December 31 of this year.

This measure is based on the recently revised Enforcement Decree of the Public Property and Goods Management Act, which has expanded the system to allow rent reductions not only in the event of disasters but also during deteriorating economic conditions such as an economic downturn. The Busan Metropolitan Office of Education will determine the reduction rate through the Public Property Review Committee, and plans to apply the reduction retroactively even if the lease period has already ended.

The rent reduction rate will vary depending on the amount of rent.

For amounts less than 100 million won, the reduction will be 50%; for amounts between 100 million and less than 500 million won, the reduction will be 40%; and for amounts of 500 million won or more, the reduction will be 30%.

In addition, rent payments due this year may be deferred for up to one year, and late fees will be reduced by 50%.

The support is available to businesses that directly use public property and are operated by small business owners or SMEs as defined by the Framework Act on Small and Medium Enterprises and the Framework Act on Small Business Owners. Eligibility can be verified with a certificate issued by the SME Status Information System. If the certificate is submitted with the application, the relevant institution or school will process the rent reduction or refund. Detailed information on the application schedule and process will be provided separately by each institution.

Superintendent Kim Seokjun stated, "This measure is intended to provide practical relief for those facing difficulties due to the economic downturn," adding, "By offering a package of rent reductions, payment deferrals, and late fee reductions, we aim to ease the burden on small business owners and SMEs."

Busan Metropolitan Office of Education.